Covid-19 update: Gold prices surge beyond Rs 46,700 per 10 grams

Gold prices fell on Wednesday as investors locked in profits after the metal rallied to a more than seven-year high in the previous session, but fears of a global recession due to the coronavirus pandemic limited losses.

Gold prices in India touched a record high as they crossed 46,700 level per 10 gram on the Multi Commodity Exchange (MCX) on Wednesday amid the nation-wide lockdown extension till May 3 and as investors ran for the safe-haven investment.

Gold prices in India touched a record high as they crossed 46,700 level per 10 gram.(Reuters Photo)

June gold futures rose as much as 1% to a new high of Rs 46,785 per 10 gram on MCX. In the previous session, gold prices in India have surged over 2% to Rs 46,255 per 10 gram, hitting a new high of Rs 46,385 during the session.

At 9:05am, gold futures for June delivery rose 0.72% to Rs 46,620 per 10 grams as against the previous close on Monday of Rs 46,286, higher by 2.19% from its previous close, and opening price of Rs 46,445 on MCX.

Gold prices fell on Wednesday as investors locked in profits after the metal rallied to a more than seven-year high in the previous session, but fears of a global recession due to the coronavirus pandemic limited losses.

A similar surge was seen in the global gold prices.

Spot gold was trading down at 0.4% to $1,720.90 per ounce by 0246 GMT while US gold futures fell 1.1% to $1,749.90.

Meanwhile, silver futures traded 1.38% higher at Rs 46,360 per kg. The prices opened at Rs 44,432 as compared to the previous close of Rs 43,756 per kg.

Trading on the Indian commodity exchanges was shut on Tuesday account of Ambedkar Jayanti.

The panic sentiment in financial markets due to the pandemic since early 2020 has pushed the price of the yellow metal.

Gold prices have almost risen 30% globally since mid-December when the number of coronavirus cases started to rise in China.