Gold Rate In India: Domestic gold futures surged to a record high on Monday tracking a global rally, as an intensifying US-China row and a weaker dollar sent investors scurrying to the safety of bullion. Multi Commodity Exchange (MCX) gold futures - due for delivery on August 5 - touched an all-time high of Rs 52,220 on Monday, gaining by Rs 1,185 - or 2.32 per cent - from its previous close. Silver futures due for a September 4 delivery also climbed to a record high, up 8.07 per cent (Rs 4,941) at Rs 61,223. (Also Read: Gold's "Dream Run" May Continue, Say Analysts)
At 4:41 pm, the MCX gold futures traded 2.18 per cent higher at Rs 52,147, while the silver contract quoted at Rs 65,519, up 7.02 per cent from its previous close. Since March, domestic commodity exchanges have trimmed trading hours on account of pandemic-related restrictions. (Track Gold Rate Here)
(Gold futures took out an existing record high of Rs 51,035 during Monday's session)
Precious metal prices have broken a series of records over the past few weeks amid rising COVID-19 cases around the globe and worsening ties between the world's two largest economies.
Typically, any sign of uncertainty in the capital markets boosts the appeal of gold as a safe-haven bet, as investors rush away from riskier asset classes.
In the international market, spot gold was last seen trading 1.7 per cent higher at $1,934.06 per ounce, having touched a record high of $1,943.93 per ounce earlier on Monday.
According to the India Bullion and Jewellers Association (IBJA), a Mumbai-based industry body, the opening rate of gold jewellery stood at Rs 52,135 per 10 grams and silver at Rs 63.860 per kilogram on Wednesday - both excluding Goods and Services Tax.
Opening pic.twitter.com/tu5B2J5J0R
Gold jewellery prices vary in different parts of the country due to factors such as state taxes and making charges. India's gold imports dropped 96 per cent to 13 tonnes in the quarter ended June 30 after shipments virtually ground to a halt in April and May.
Meanwhile, domestic stock markets inched lower on Monday, dragged by heavyweight banking stocks after a Reserve Bank of India report forecast a potential jump in bad loans as a fallout of the COVID-19 pandemic, while IT stocks capped losses.
The S&P BSE Sensex index ended 0.51 per cent lower at 37,934.73, whereas the broader NSE Nifty 50 benchmark settled with a loss of 0.56 per cent at 11,131.80.
What Analysts Say On Gold Rates
"Gold has rallied sharply in last few days on back of weakness in the US dollar, increased geopolitical tensions, rising coronavirus cases, strong investor inflows and continuing stimulus measures," said Ravindra Rao, VP-head commodity research, Kotak Securities.
"Gold has breached the pivotal $1900/oz level and we may see extended gains unless there is a sharp rebound in the US dollar.”
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
