Mumbai: Deepening fears of global recession and weak equity markets, lifted the gold prices by Rs275 per ten grams to Rs15,665 on the bullion market on Monday as safe-haven buying.
Silver also firmed up further in line with gold prices.
Good demand from local parties in view of marriage session also boosted the the prices of precious metals, a dealer said.
Gold prices climbed for the first time in six sessions in London as stock markets tumbled on speculation that economies are worsening, adding the metal’s appeal as a store of value.
Gold for immediately delivery rose as much as $16.16 an ounce to $958.51 and was traded at $950.43 an ounce. April futures gained by $9.50 to $952.00 an ounce in electronic trading on the New York Mercantile Exchange’s comex division.
The BSE benchmark index ended lower by 285 points or 3.20%.
In the local market, standard gold (99.5 purity) rose by Rs275 per ten grams to close at Rs15,665 from the last weekend’s level of Rs15,390.
Pure gold (99.9 purity) also strengthened to Rs15,725 from Rs15,460 previously.
Silver ready (.999 fineness) shot up by Rs395 per kilo to Rs22,330 from Rs21,935.