Gold prices in India rose on Tuesday to Rs 50,205 per 10 grams on the MCX, as the yellow metal continued to extend gains for the seventh consecutive day owing to the ongoing Ukraine-Russia conflict. Silver too jumped 0.54 per cent to Rs 64,580 per kg.
Globally gold prices climbed to an eight-month high amid heightened tensions between Russia and the West over Ukraine, which prompted investors to shun riskier assets and opt for safe-haven bullion.
Spot gold was up by 0.3 per cent at $1,876.71 per ounce, after hitting its highest level since June 11 at $1,878.88 earlier in the day. US gold futures rose 0.5 per cent to $1,879.00.
Due to the Ukraine crisis, gold is supported through the inflation channel because of higher crude oil prices and through the risk aversion channel because of lower stocks, said Stephen Innes, managing partner at SPI Asset Management.
"If we lose that Ukraine impulse, then gold comes off quite quickly," Mr Innes said.
Among other precious metals, spot silver gained 0.3 per cent to $23.91 per ounce and platinum added 0.1 per cent to $1,029.19.
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