New Delhi: Gold prices skyrocketed by Rs9,700 to scale a fresh peak of Rs1,30,300 per 10 grams in the national capital on Monday, lifted by safe-haven buying in the overseas markets and depreciation in the Indian rupee. According to the All India Sarafa Association, the yellow metal of 99.9 per cent purity had closed at Rs1,20,600 per 10 grams on Friday.

In the local bullion market, gold of 99.5 per cent purity jumped by Rs2,700 to hit a record high of Rs1,22,700 per 10 grams (inclusive of all taxes) on Monday. It had settled at Rs1,20,000 per 10 grams in the previous market session. Traders said the fall in the rupee against the US dollar added to the rally of the precious metal.

“Gold reached a new record high on Monday as investors still prefer bullion despite this record high price. They are anticipating further gains in bullion backed by favourable fundamentals and strong bullish momentum,” Saumil Gandhi, senior analyst (commodities) at HDFC Securities, said. Gandhi noted that concerns about a prolonged US government shutdown potentially impacting economic performance are supporting the demand for safe-haven metal. So far in this year, gold prices have added Rs51,350 or 65.04 per cent, rallying from Rs78,950 per 10 grams on December 31, 2024. Silver prices also witnessed robust gains. The white metal bounced by Rs 7,400 to hit a new peak of Rs1,57,400 per kilogram (inclusive of all taxes). It had ended at Rs 1,50,000 per kg on Friday, as per the association. Silver prices have soared by Rs67,700 or 75.47 per cent in the current calendar year, rallying from Rs89,700 per kg on December 31, 2024. In the international markets, spot gold rose nearly 2 per cent to touch an all-time high of $3,949.58 per ounce, while silver went up over 1 per cent to hit a high of $48.75 per ounce.

Spot gold extended gains and surged above $3,940 per ounce for the first time ever as the US government shutdown enters its sixth day.