Kerala’s gold market has witnessed a historic surge, with prices recording the largest single-day increase ever. The price of gold shot up by a staggering ₹8,640 per pavan, taking the cost of one pavan (8 grams) to ₹1,31,160, while the per-gram rate climbed by ₹1,080 to ₹16,395.
This unprecedented rise marks the sharpest daily jump in gold prices in the state’s history. On the same day, prices had already risen by ₹2,360 in the morning, followed by another ₹1,400 increase by afternoon. While market watchers had earlier predicted that gold would soon cross ₹1.25 lakh per pavan, the sudden spike has pushed prices well beyond the ₹1.30 lakh mark.
Gold prices in Kerala had crossed ₹1 lakh for the first time on December 23, and since then the upward trend has continued unabated. Experts attribute the surge largely to developments in the international market, with global economic uncertainty and geopolitical tensions playing a decisive role.
Market volatility intensified following remarks by US President Donald Trump about imposing higher tariffs on goods from European countries opposing American views on Greenland’s control. In addition, reports that the United States is considering military action against Iran have further unsettled global markets.
Amid these uncertainties, investors are increasingly turning to gold as a safe-haven asset, driving demand and pushing prices to unprecedented levels.
