Market Overview
Gold prices witnessed a significant surge in the national capital on Tuesday, crossing the Rs 1 lakh mark per 10 grams. This jump comes amid continued global economic uncertainty and heightened demand driven by cultural and seasonal buying patterns.
Price Surge and Market Drivers
On Tuesday, 24-carat gold (99.9% purity) rose by Rs 1,800, reaching a historic level of Rs 1,01,600 per 10 grams, compared to the previous day’s rate of Rs 99,800. Gold with 99.5% purity increased by Rs 2,800 to touch Rs 1,02,100 per 10 grams, according to the All India Sarafa Association.
The rise in prices is attributed to increased purchasing activity ahead of Akshaya Tritiya and the ongoing wedding season. Contributing external factors include a depreciating US dollar, uncertainty in global economic outlooks, and continued geopolitical tensions, particularly concerning US-China trade dynamics.
Futures Market Activity
Gold futures on the Multi Commodity Exchange (MCX) reflected the upward trend:
- June Contract: Rose by Rs 2,079 or 2.14% to reach Rs 99,358 per 10 grams before settling at Rs 98,450.
- August Contract: Touched Rs 1,00,000 with a gain of Rs 2,048 or 2.1%.
- October Contract: Climbed to Rs 1,00,500, marking an increase of Rs 2,016 or 2.05%.
Global Market Trends
On the international front, spot gold achieved a record high of USD 3,499.92 per ounce, later settling at USD 3,466.93 per ounce. Additionally, Comex gold futures surpassed USD 3,500 per ounce for the first time, indicating growing concern among investors over macroeconomic and geopolitical developments.
In contrast, silver prices remained stable, holding at Rs 98,500 per kg in India and USD 32.70 per ounce in international markets.
Summary
Gold prices in Delhi surged to new all-time highs, surpassing the Rs 1 lakh mark per 10 grams due to increased festive and seasonal demand. The rally aligns with a global rise in gold prices amid ongoing economic and geopolitical uncertainty. Silver prices, however, showed no significant movement during the same period.
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