Gold-silver rates
Amid strong global cues and weak dollar, the price of gold in the bullion market of the national capital on Monday increased by Rs 1,300 to Rs 1,25,900 per 10 grams. Both gold and silver prices have increased in the country’s capital today. All India Bullion Association has given this information. The price of gold of 99.5 percent purity increased by Rs 1,300 to Rs 1,25,300 per 10 grams including all taxes, compared to Friday’s Rs 1,24,000 per 10 grams. At the same time, in the local bullion market, gold of 99.9 percent purity had closed at Rs 1,24,600 per 10 grams in the last market session.
Saumil Gandhi, senior analyst at HDFC Securities, said that gold trade resumed with a positive trend due to the ongoing demand for safe investments and weak US macroeconomic data, which has increased the expectations of cutting interest rates in the Federal Reserve meeting next month. He said that the weak dollar has given further support to bullion. According to the association, apart from this, silver prices increased by Rs 2,460 to Rs 1,55,760 per kg on Monday. On Friday it closed at Rs 1,53,300 per kg. On the global label, spot gold rose by $83.12 or 2.08 per cent to trade at $4,082.84 an ounce, while spot silver was up 3.30 per cent at $49.93 an ounce.
Why did the prices increase?
Jatin Trivedi, Vice President, Commodity and Currency, LKP Securities, said gold prices rose due to a weak dollar and positive sentiment after the US government restarted operations. Now the focus is on key inflation data including CPI in the US and CPI and WPI inflation data in India, which will decide the short-term market direction. Saumil Gandhi of HDFC Securities said recent US macroeconomic data showed consumer sentiment fell to a nearly 3.5-year low in November, and private reports are pointing to job losses in October. He said that economic and policy uncertainty in the world’s largest economy remains favorable for precious metals. In the coming week, we expect gold and silver to remain strong in a broad range with a positive trend.