What's driving gold's rally? World Gold Council's Sachin Jain explains

Gold has been one of the best-performing assets in recent years. The big question now is whether the rally can continue.

Speaking at the India Today Conclave 2026, Sachin Jain, Regional CEO (India) at the World Gold Council, said the factors supporting gold prices remain strong.

He explained that the global gold market has changed significantly over the past three decades. Earlier, jewellery dominated gold demand and central banks were net sellers. Today, demand has become far more diversified.

Developing markets now account for over 70% of global gold consumption. At the same time, central banks contribute around 20–22% of demand, while investment demand accounts for more than 40%.

According to Jain, the latest rally started with strong central bank buying in 2024, followed by rising investment demand in 2025.

With geopolitical tensions rising and confidence in currencies weakening, gold continues to act as a safe haven asset.

Jain says investors should view gold as a long-term portfolio diversifier, with around 10–15% allocation in investment portfolios.