India's enduring fascination with gold continues to shine brightly during Diwali 2025, blending tradition with modern investment strategies. As the festival of lights approaches, the demand for the yellow metal has surged, driving prices to record highs. This enduring connection between gold and Diwali highlights its significance in cultural practices and financial planning.
Dhanteras, the auspicious occasion that marks the beginning of Diwali celebrations, is considered the most favorable day for purchasing gold, silver, and other valuable items. Falling on October 31st in 2025, devotees across India are preparing to buy precious metals, believing it will attract wealth, prosperity, and good fortune. The tradition is deeply rooted in Hindu astrology, where specific timings, known as muhurats, are considered ideal for maximizing blessings. Abhijit Muhurat (11:51 AM – 12:40 PM) and Dhanteras Muhurat (06:39 PM – 07:33 PM) are the recommended timings for purchases.
The surge in gold demand isn't solely a local phenomenon. Global factors, including economic uncertainties, geopolitical tensions, and inflation concerns, are contributing to the metal's appeal as a safe-haven asset. According to a report by Motilal Oswal Financial Services Ltd (MOFSL), robust demand has been witnessed in China, India, Turkey, and the Middle East, driven by currency weakness and inflation.
The price of gold has reflected this increased demand. In Delhi, gold prices have soared to a record high of Rs 1,34,800 per 10 grams. Experts note that gold has delivered substantial gains for investors, with prices surging 66% in less than a year. Despite a slight dip in global markets, analysts anticipate that gold will remain elevated due to ongoing US economic uncertainties and geopolitical tensions.
While Dhanteras is the primary day for gold purchases, some consider Choti Diwali (Amavasya Eve, November 1st) auspicious for buying silver, and a few families deem gold purchases on Diwali morning (November 2nd) lucky.
However, experts advise caution, suggesting that prices may stabilize or correct after the festive season. Ajay Kedia, MD & Director at Kedia Advisory, notes that while geopolitical tensions and interest rates are fueling the rally, investors should be alert for potential corrections post-Diwali. Religare Broking's report, "Gold Special Report-Diwali, 2025," highlights the exceptionally positive trend structure for gold, characterized by sustained buying interest and global risk factors.
Major jewelers are also capitalizing on the Diwali demand. Malabar Gold & Diamonds, for instance, has unveiled exclusive Diwali 2025 offers and continues to promote fair pricing through its "One India One Gold Rate" initiative, ensuring uniform gold rates across all its stores.
As families prepare to celebrate Diwali, the tradition of buying gold continues, symbolizing prosperity and good fortune. Whether it's in the form of jewelry, coins, or utensils, gold remains an integral part of the festival, bridging the gap between cultural heritage and modern financial planning. While experts advise caution regarding short-term speculation, the long-term outlook for gold remains positive, solidifying its place as a timeless investment and a cherished symbol of Diwali.
