Gold price down by Rs 6,444 per 10 gram, silver by Rs 19,758 a kg from record highs
Gold prices rose by Rs 324 to Rs 50,824 per 10 gram in the national capital on Friday, halting its four-day decline over recovery in the international rates of the precious metal.Updated: Sep 26, 2020, 23:33 IST
Gold and silver prices have been falling for the last four days, except on Tuesday. Gold has become cheaper by Rs 1,810 per 10 gram and silver by Rs 9,655 per kg between Monday and Thursday morning.
Gold prices rose by Rs 324 to Rs 50,824 per 10 gram in the national capital on Friday, halting its four-day decline over recovery in the international rates of the precious metal. It had closed at Rs 50,500 per 10 gram in the previous trade. Silver prices also bounced back and gained Rs 2,124 to Rs 60,536 per kilogram from the previous close of Rs 58,412 per kilogram.
“Spot gold prices for 24 carats in Delhi halted decline by rising Rs 324, in line with the recovery in international prices,” Tapan Patel, a senior analyst (commodities) at HDFC Securities, was quoted as saying by news agency PTI.
Globally, gold gained at $1,873 per ounce, while silver was flat at $23.10 per ounce. According to Patel, gold prices witnessed recovery from Thursday’s evening session as dollar index pared gains on US stimulus hopes.
compared with the record rate of gold, gold has become cheaper by Rs 6,444 per 10 gram between August 7 to Friday morning. Silver price is also down to Rs 19,758 per kg. Gold and silver prices have fallen due to the rise in the dollar against other currencies, including the rupee. Positive news about vaccines against the coronavirus disease, preparation by the United States government to help small industries and China’s tensions with other countries, including India and the US. All of these have made investors to shift to the dollar as safe haven.
According to experts, gold prices in foreign markets fell by 2% to $1862 an ounce due to the rise in the US dollar. It has also affected the domestic market. Experts believe that gold prices may fall further in the coming days. The impact of the strengthening of the US dollar will be seen on gold, they added.
Gold prices have set several records in the first, second, third and fourth phases of the nationwide lockdown enforced from March 25. In lockdown 1.0 implemented from May 25 to April 14, the price of 24 carat gold rose by Rs 2,610, while in the second phase it fell. Between April 14 and May 3, gold climbed by only Rs 121, but in the third phase, which was from May 3 to May 17, gold price once again climbed and rose to Rs 1,154 per 10 grams. Lockdown 4.0 was in force from May 18 to May 31 and gold soared to Rs 794 till May 22. However, from January to May 22 this year, gold had become expensive by about Rs 7,000 per 10 grams.
Gold spot prices opened at Rs 56,254 on August 7 in bullion markets across the country at an all-time high. It closed at Rs 56,126 per 10 gram after a slight decline. As far as silver is concerned, it opened at Rs 76,008 per kg and closed at Rs 75,013. The price of silver on the Multi Commodity Exchange (MCX) had jumped to a record high of Rs 73,600 per kg on April 25, 2011, and reached Rs 77,000 per kg in the spot market.