India’s Index of Industrial Production saw a 4.8% increase year-on-year in January 2026, according to the Ministry of Statistics & Programme Implementation. The rise in industrial output was largely driven by a 4.8 per cent expansion in manufacturing and a 5.1 per cent improvement in electricity generation. Mining activity also supported overall growth, registering a 4.3 per cent uptick during the month.Estimates placed IIP at 169.4 for January 2026, compared with 161.6 in January 2025. This follows a stronger reading in December 2025, when industrial production had grown by 7.8 per cent. For January 2026, the sector-specific indices stood at 157.2 for mining, 167.2 for manufacturing and 212.1 for electricity.Within manufacturing, 14 of the 23 industry groups at the NIC two-digit level posted year-on-year gains in January. The strongest contributors were manufacture of basic metals, which rose 13.2 per cent; manufacture of motor vehicles, trailers and semi-trailers, up 10.9 per cent; and manufacture of other non-metallic mineral products, which increased 9.9 per cent. Growth in basic metals was supported by items such as flat products of alloy steel, MS slabs, and hot-rolled coils and sheets of mild steel.The automobile category advanced on the back of higher output of auto components and spare parts, commercial vehicles, and bus and minibus bodies or chassis. In the non-metallic mineral products segment, cement of all types, cement clinkers and stone chips were key contributors.According to use-based classification, output of primary goods grew 3.1 per cent, capital goods rose 4.3 per cent and intermediate goods increased 6 per cent compared with January 2025. Infrastructure and construction goods recorded the sharpest rise at 13.7 per cent, while consumer durables expanded 6.3 per cent. In contrast, consumer non-durables declined by 2.7 per cent. The ministry identified infrastructure and construction goods, intermediate goods and primary goods as the leading drivers of growth under this classification.

There might also be a more direct impact on food. “Some elements of crude oil are used in fertiliser, and so there could be a cost implication in terms of food prices,” Benjamin Goodwin, partner at banking advisory firm PRISM Strategic Intelligence told the BBC.

Gold prices in Pakistan surged sharply on Monday, with the price of 24-karat gold rising by Rs13,300 per tola, according to the All Pakistan Sarafa Gems and Jewellers Association.

The new price of 24-karat gold per tola stands at Rs563,862, up from Rs550,562.

Updated Gold Rates

24K gold (per 10 grams):

Increased by Rs11,402 to Rs483,420

22K gold (per 10 grams):

Rose by Rs10,453 to Rs443,151

Silver Prices Also Rise

Silver (per tola):

Up Rs188 to Rs10,050

Silver (per 10 grams):

Increased by Rs161 to Rs8,616

International Market Impact

The surge in domestic prices follows gains in the international market, where gold climbed by $133 to $5,411 per ounce, while silver rose by $1.88 to $95.66 per ounce.

Analysts attribute the rally to global economic uncertainty and heightened geopolitical tensions, which typically drive investors toward safe-haven assets like gold.