Gold prices rise after three days, silver rates surge
Gold prices today rose by Rs 90 to Rs 32,040 per 10 grams, after falling Rs 200 in past three days.
New Delhi: Gold prices are back above Rs 32,000 mark. Gold rates today rose by Rs 90 to Rs 32,040, snapping a three-day losing streak. Gold prices had fallen Rs 200 in the previous three days. Tracking gold, silver rates today jumped Rs 200 to Rs 38,000 per kg amid increased offtake by industrial units. Fresh buying by domestic jewellers and higher global rates boosted domestic gold prices. Gold of 99.9% and 99.5% purity advanced Rs 90 each to Rs 32,040 and Rs 31,890 per 10 gram, respectively.
Sovereign gold, however, held steady at Rs 24,800 per piece of 8 gram on little doing. Silver ready recovered by Rs 200 to Rs 38,000 per kg, while weekly-based delivery by Rs 302 to Rs 36,888 per kg. Silver coin prices were unchanged at Rs 73,000 for buying and Rs 74,000 for selling of 100 pieces.
The appreciation of the rupee against the US dollar also put downward pressure on domestic gold prices. Rupee had risen to 71.05 against the US dollar, extending its rebound to the seventh day today.
In global markets, gold prices were steady $1,227.25 per ounce, after hitting a two-week high of $1,230 yesterday. A subdued US dollar helped support gold prices in global markets. The dollar edged lower today as demand for safe-haven currencies remained subdued after a rebound in global equities. This week, the dollar has been under pressure as cautious comments by Fed officials about a potential global slowdown raised doubts on the pace of interest rate hikes. Prospects of higher US interest rates are negative for dollar-priced gold as they raise the opportunity cost of holding bullion.
A weaker dollar, geopolitical issues like Brexit and the US-China trade war and a wavering stock market has been supporting gold prices, analysts said.
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