Gold Rate: The price of gold in the bullion market of the national capital rose by Rs 600 to Rs 76,950 per 10 grams on Monday amid a rise in the prices of precious metals in the global market. In the last trading session on Thursday, gold of 99.9 percent purity closed at Rs 76,350 per 10 grams. Chintan Mehta, Chief Executive Officer (CEO) of Abans Holdings, said, “Gold prices have increased by 27 percent this year, and it has reached an all-time high. Mehta said that the demand for gold as a safe investment option has further increased due to rising geopolitical tensions, especially the risk of a large-scale war in West Asia, as Israel continues to attack Gaza.
Why is the price of gold increasing?
The rise in gold prices in the local markets is due to the increasing demand from jewelers and retailers. The wedding season is about to begin in the country. Due to this, gold imports have reached record levels. Due to the increasing demand, the price of gold is rising. At the same time, the demand for gold is also there due to the global crisis. This also continues to increase the price. Due to weak demand from industrial units and coin makers, the seven-day rising trend in the local market was broken and silver fell by Rs 1,000 to Rs 90,000 per kg. In the last session, it closed at Rs 91,000 per kg.
MCX also rose
On the other hand, gold contracts for October delivery rose by Rs 184, or 0.25 per cent, to Rs 74,224 per 10 grams in futures trading on the Multi Commodity Exchange (MCX). Silver contracts for December delivery on the exchange fell by Rs 1,035, or 1.15 per cent, to Rs 89,100 per kg.
Gold also became expensive on Comex
In global markets, Comex gold rose 0.04 per cent to $2,647.30 an ounce. “Gold prices hit a new record high on Monday, helped by a stable dollar and persistent demand for physically-backed exchange-traded funds, as more buyers sought to hedge against economic uncertainty and geopolitical risks,” said Saumil Gandhi, Senior Analyst-Commodities, HDFC Securities. Silver, however, fell to $30.96 an ounce during Asian trading hours.
Image Credit: India-Tv.