Gold prices surge today after 4-day fall

Gold prices surge today after 4-day fall

Gold prices had lost Rs 290 in previous four days. Photo: Mint

Gold prices had lost Rs 290 in previous four days. Photo: Mint

New Delhi: Gold prices jumped by Rs 210 to Rs 31,570 per 10 grams on Wednesday, mainly supported by a strong global sentiment amid a pick-up in demand by local jewellers, reported PTI. Globally, gold prices hit a one-week high, rebounding from this week’s seven-month low, helped by a softer dollar and smouldering trade tensions, though the move was limited ahead of US jobs data. In Delhi, gold of 99.9 per cent and 99.5 per cent purity rebounded by Rs 210 each to Rs 31,570 and Rs 31,420 per 10 grams, respectively. It had lost Rs 290 in the previous four days.

Sovereign, however, remained flat at Rs 24,800 per piece of eight grams. On the other hand, domestic silver prices stayed under pressure and dropped below the Rs 40,000-mark by plunging Rs 390 to Rs 39,910 per kg, added the report. Silver coins, however, maintained a steady trend at Rs 75,000 for buying and Rs 76,000 for selling of 100 pieces.

Global spot gold rate was up 0.3% at $1,256.06 an ounce after touching $1,261.10, a one-week high. The precious metal has gained over $20 from Tuesday’s low of $1,237.32 an ounce, its weakest since 12 December. US gold futures for August delivery were trading 0.3 percent higher at $1,257.50 an ounce.

The dollar today fell versus the euro and the yuan, with the Chinese currency continuing its recovery from 11-month lows after the central bank took steps to stem its rapid rise. A weaker dollar makes dollar-priced gold cheaper for non-US investors.

The Indian rupee and bond prices were little changed today. The rupee opened at 68.53 and touched a high and a low of 68.47 and 68.64, respectively.

Global stocks were dragged lower by growing anxiety ahead of Washington’s end of week deadline to impose tariffs on $34 billion of Chinese imports, and Beijing’s vow to retaliate in kind on the same day. Markets are awaiting minutes of the June Fed meeting due on Thursday and the US non-farm payrolls data on Friday for cues on monetary policy.

With inputs from Reuters

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