Gold prices in Kolkata fell on Monday after reaching an all-time high, while in Dhaka they continued to climb, prompting questions about potential monopolistic practices by the country’s gold traders.

The decline in India mirrored a weakening global bullion market, yet within 24 hours, gold prices in Bangladesh were raised again, sparking heated debate among consumers over the decisions of organised local traders. Bangladesh Jewellers Association (BAJUS), the country’s primary platform for gold traders, increased the price of 22-carat gold by Tk 1,260 per bhori on Monday, setting a new record of Tk 182,810.

In Kolkata, 22-carat gold was trading at Rs 9,935 per gram, while 24-carat gold, also known as 999 gold, retailed at Rs 10,838 per gram. In Nepal, gold fell by Rs 400 per tola, according to the Federation of Nepal Gold and Silver Dealers’ Association. These declines reflect subdued investor demand worldwide and fluctuations in exchange rates.

Consumers in Bangladesh have voiced frustration, viewing the price hikes as artificial. “This rise is nothing but an artificial increase,” said Umme Fatema, a college teacher. “Gold traders are organised, while consumers have no recourse against their monopoly decisions.”

Globally, gold continues to dominate financial markets, trading near $3,610 per ounce after rising almost 37% this year. Prices have broken above $3,500 and are testing the $3,650–$3,700 range. Analysts cite geopolitical uncertainty, currency volatility, and strong central bank demand—more than 415 tonnes purchased in the first half of 2025 alone—as major drivers.

Expectations of U.S. Federal Reserve interest rate cuts are also supporting gold. Historically, lower rates increase demand for the precious metal, although past trends may not fully predict current market behaviour. Inflation remains a key factor: a decline could reduce gold’s appeal as a hedge, while persistent inflation is likely to sustain demand.

Market experts forecast that gold could continue its upward trajectory in the short term, potentially testing $3,700–$3,750 per ounce if geopolitical tensions escalate or central banks maintain aggressive buying strategies. Conversely, analysts warn that a combination of lower-than-expected inflation data and a stronger U.S. dollar could trigger a temporary correction, pushing prices back toward $3,500.

Investment into gold-backed exchange-traded funds (ETFs) has reached its highest level since 2020, reflecting strong institutional and central bank interest. Jewellery demand, however, is softening as consumers increasingly favour bars, coins, and digital gold products due to affordability constraints.

Experts recommend that investors adopt a diversified strategy, including dollar-cost averaging, fractional ownership, and careful portfolio allocation, to mitigate short-term volatility. While momentum remains on gold’s side, sharp corrections are possible if global monetary policy shifts more rapidly than expected.

For consumers worldwide, the challenge lies in navigating these fluctuating prices prudently, balancing cultural and traditional preferences with strategic investment decisions. Analysts suggest that success in 2025 will depend not only on holding gold but also on managing it wisely alongside a broader, diversified financial strategy.