Gold futures rose nearly 1 per cent on Wednesday as the country entered an extended lockdown to curb the spread of the coronavirus (COVID-19) pandemic. MCX gold futures rose to close at Rs 46,710 per 10 grams, marking an increase of 0.98 per cent - or Rs 455 per 10 grams - compared to the previous close of Rs 46,255 per 10 grams. According to the India Bullion and Jewellers Association (IBJA), a Mumbai-based industry body, the closing rate of gold jewellery stood at Rs 46,536 per 10 grams and silver at Rs 44,000 per kilogram - both excluding Goods and Services Tax (GST).
#Gold and #Silver Closing #Rates for 15/04/2020#IBJA pic.twitter.com/Xw0RTZMtzj
Gold jewellery prices vary in different parts of India - the second largest consumer of the precious metal - due to factors such as excise duty, state taxes and making charges.
Also Read | Layoffs Are Rising In Tech, But These Skills Are Helping People Unlock Better Pay
In the international market, gold prices fell on Wednesday, a day after scaling over seven-year highs, as the dollar firmed and investors booked profits although concerns of a global recession put a floor under prices.
Spot gold was last seen trading 0.7 per cent lower at $1,716.40 per ounce. On Tuesday, gold had jumped as much as 1.9 per cent to $1,746.50 - its highest level recorded since November 2012.
Domestic stock markets retreated from one-month highs to settle lower on Wednesday, as the country entered an extended lockdown to curb the coronavirus spread, while weakness in global peers over warnings of the worst global recession since the 1930s weighed on sentiment. The S&P BSE Sensex index closed 1.01 per cent lower at 30,379.81, and the broader NSE Nifty 50 index benchmark ended down 0.76 per cent at 8,925.3, after each rose nearly 3 per cent during the session.
Last month, commodity exchanges cut down trading hours, in a shift from the practice of allowing trading till midnight, in the wake of coronavirus pandemic. The trading now begins at 9 am and ends at 5 pm, instead of 11:50 pm earlier.
Gold Price: What Analysts Say On Current Gold Rate
Analysts said some more upside can be expected in gold prices as the lockdown increases the yellow metal's appeal as a safe haven.
“COMEX gold has slipped near 1% to trade close to $1750/oz after a 0.4 per cent gain yesterday when it hit a 2012 high of $1788.8/oz. Gold eased as stability in equity markets led to some profit-taking,” said Ravindra Rao, VP-head commodity research at Kotak Securities.
"However, supporting price is IMF's warning about recession this year and Fed's funding program to maintain liquidity in financial markets. ETF holdings have risen to 2013 highs showing robust investor interest,” he added.
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.
