Gold, silver prices skyrocket to fresh peaks amid rising geopolitical tensions
The white metal skyrocketed by `40,500, while the yellow metal surged by `7,300
New Delhi: Gold and silver prices dazzled in the national capital on Tuesday, with both precious metals vaulting to uncharted highs, driven by strong investor demand and a global rally amid rising geopolitical and trade tensions.
According to marketmen, gold of 99.9 per cent purity increased Rs 7,300, or 4.6 per cent, to touch an all-time high of Rs 1,66,000 per 10 grams. The yellow metal had closed at Rs 1,58,700 per 10 grams on Friday.Bullion markets remained closed on Monday on account of the 77th Republic Day.
Silver prices continued its remarkable performance, outperforming gold for yet another session in the bullion markets. The white metal skyrocketed by Rs 40,500, or 12.3 per cent, to hit a new peak of Rs 3,70,000 per kilogram.The metal had settled at Rs 3,29,500 per kilogram in the previous market session.
"Silver in the domestic market has scaled another record high of Rs 3,70,000 per kg, supported by strong safe-haven demand amid rising trade and geopolitical tensions," Saumil Gandhi, Senior Analyst, Commodities at HDFC Securities, said.
According to FOREX.com, silver prices extended their rally, with spot prices soaring $8.55, or 8.24 per cent, to $112.41 per ounce in the international market.The white metal had surged by $14.42, or 14 per cent, to touch a new peak of $117.73 per ounce in the previous session.
"Silver is additionally benefiting from robust industrial demand alongside investment flows."The white metal prices in the near-term may see bouts of profit-booking and consolidation, but the broader bias remains positive as long as global risk sentiment stays fragile and the dollar remains under pressure," Gaurav Garg, Research Analyst at Lemonn Markets Desk, said.
Silver prices crossed the crucial $100 per ounce level for the first time on Friday in the overseas market, reinforcing investor appetite for the safe-haven asset.Gold also extended its upward momentum in the global markets, with the metal gaining for the seventh consecutive day. It appreciated by $79.13, or 1.58 per cent, to $5,087.48 per ounce.
The yellow metal had earlier breached the psychological $5,000 per ounce level for the first time, rising by $121.07, or 2.43 per cent, to hit a record of $5,110.24 per ounce on Monday.
"Spot gold was trading higher at around $5,080 per ounce in the overseas markets, driven by renewed geopolitical tensions and a weaker dollar," Praveen Singh, Research Analyst, Mirae Asset Sharekhan, said.
