Gold Prices Rally to Rs 1.57 Lakh per 10 Grams on Monday
Gold witnessed a significant uptick in prices on Monday, with the yellow metal climbing to Rs 1.57 lakh per 10 grams. Market analysts and traders have pointed to a combination of factors fueling this surge, including a notable rebound in global financial markets, a softer US dollar, and renewed investor interest in safe-haven assets amid ongoing economic uncertainties.
Futures Trading Shows Strong Momentum
On the Multi Commodity Exchange (MCX), gold futures demonstrated robust momentum. The April contract for gold saw an increase of Rs 2,089, or 1.34%, settling at Rs 1,57,540 per 10 grams. This transaction involved 8,279 lots, indicating substantial trading activity and heightened market participation.
In parallel, silver prices experienced a sharp rise, climbing nearly 5% to reach Rs 2.61 lakh per kilogram in futures trading. This dual surge in precious metals underscores a broader trend of increased demand for tangible assets as investors seek stability in volatile market conditions.
International Markets Follow Suit
Overseas markets mirrored this positive trend, with gold prices rising by $81.69, or 1.64%, to $5,061.49 per ounce. This global increase highlights the interconnected nature of commodity markets and the influence of international factors on domestic pricing.
City-Wise Gold Price Breakdown Across India
Here is a detailed look at gold prices in various Indian cities as of Monday, reflecting the nationwide impact of the market surge:
- Ahmedabad: 24K gold at Rs 15,447 per gram, 22K at Rs 14,160 per gram, 18K at Rs 11,587 per gram.
- Bangalore: 24K gold at Rs 15,442 per gram, 22K at Rs 14,155 per gram, 18K at Rs 11,582 per gram.
- Bhubaneswar: 24K gold at Rs 15,442 per gram, 22K at Rs 14,155 per gram, 18K at Rs 11,582 per gram.
- Chennai: 24K gold at Rs 15,622 per gram, 22K at Rs 14,320 per gram, 18K at Rs 12,250 per gram.
- Delhi: 24K gold at Rs 15,457 per gram, 22K at Rs 14,170 per gram, 18K at Rs 11,597 per gram.
- Hyderabad: 24K gold at Rs 15,442 per gram, 22K at Rs 14,155 per gram, 18K at Rs 11,582 per gram.
- Kanpur: 24K gold at Rs 15,457 per gram, 22K at Rs 14,170 per gram, 18K at Rs 11,597 per gram.
- Kolkata: 24K gold at Rs 15,442 per gram, 22K at Rs 14,155 per gram, 18K at Rs 11,582 per gram.
- Jaipur: 24K gold at Rs 15,457 per gram, 22K at Rs 14,170 per gram, 18K at Rs 11,597 per gram.
- Mumbai: 24K gold at Rs 15,442 per gram, 22K at Rs 14,155 per gram, 18K at Rs 11,582 per gram.
These city-specific prices illustrate the uniform upward movement in gold rates across major urban centers, with minor variations due to local factors such as taxes and demand-supply dynamics.
Factors Driving the Precious Metals Rally
The recent surge in gold and silver prices can be attributed to several key drivers:
- Global Market Rebound: Improved sentiment in international equity markets has reduced risk aversion, yet gold remains attractive as a hedge against potential downturns.
- Weaker US Dollar: A softer dollar makes gold cheaper for holders of other currencies, boosting demand and pushing prices higher.
- Safe-Haven Demand: Ongoing geopolitical tensions and economic uncertainties have led investors to flock to gold as a reliable store of value.
- Increased Futures Trading Activity: High volumes on MCX indicate strong speculative interest and confidence in the upward trajectory of precious metals.
As markets continue to evolve, analysts suggest that gold prices may remain volatile in the short term, influenced by global economic indicators and monetary policy decisions. Investors are advised to monitor these trends closely for informed decision-making.
