Gold Prices Climb For Second Straight Day On Weak Rupee: 5 Things To Know

A weak rupee and strong global cues pushed gold prices down for a second straight day on Monday. Silver prices also rose backed by increased offtake by industrial units and coin makers. Experts expect gold rates to gain as long as the rupee will continue to fall. Increased buying by local jewellers also helped uplift gold prices, traders said in a report by news agency Press Trust of India (PTI). On Saturday, gold prices rose marginally by Rs. 20 to reach Rs 31,420 per 10 grams at the bullion market.

Here are five things to know about Monday's gold, silver prices

1. Gold prices rose by Rs 180 to Rs 31,600 per 10 gram. In the national capital, gold of 99.9 per cent and 99.5 per cent purity climbed by Rs 180 each to Rs 31,600 and Rs 31,450 per 10 gram, respectively.

2. Traders said sentiment bolstered after gold inched in global markets as bargain-hunters bought the metal after prices dipped in the previous session, amid reports that the US is set to impose a new round of tariffs on Chinese imports.

3. In the international markets, spot gold was up 0.2 per cent at $1,195.83 an ounce as of 0655 GMT or 12:25 pm IST, after falling 0.6 per cent on Friday when it marked its third straight weekly decline. US gold futures were down 0.1 per cent at $1,199.80, according to a report by news agency Reuters.

4. "Once again, the depreciating rupee pushed the yellow metal higher on the MCX even though in dollar terms no strong momentum was seen in a day session. As long as rupee is weakening, gold will be supported in domestic market. On the MCX, Rs 30,800 offers resistance. Hence, we recommend to go long on every dip for second session also," said Jigar Trivedi, Fundamental Research Analyst - Anand Rathi Commodities.

5. Silver prices shot up by Rs 180 to Rs 37,680 per kg. Silver ready rose by Rs 180 to Rs 37,680 per kg and weekly-based delivery by Rs 200 to Rs 37,195 per kg. Silver coins, however, were unaltered at Rs 72,000 for buying and Rs 73,000 for selling of 100 pieces. (With agencies inputs)