Gold prices gained Rs 81 to Rs 49,320 per 10 gram, a record high in the Mumbai bullion market on rupee depreciation versus the dollar. The yellow metal prices rose on worries of rising coronavirus cases in the US and other parts of the world.
The rate of a 10 gram 18, 22 and 24-carat gold in Mumbai was Rs 36,990, Rs 45,177 and Rs 49,320 plus 3 percent GST.
Gold is set for a fifth straight weekly gain as the COVID-19 pandemic showed no signs of abating, keeping the safe-haven metal above the key $1,800 level.
Ravindra Rao, VP- Head Commodity Research at Kotak Securities, said the factors supporting gold prices are increasing virus cases globally, downbeat growth outlook and geopolitical tensions.
Navneet Damani, Vice President, Motilal Oswal, said gold could hover between $1,780 and $1,835 per troy ounce internationally. "On the domestic front, prices could hover in the range of Rs 48,630-49,320 per 10 gm."
Rao sees sideways to positive trade in gold amid the virus and geopolitical risks with buying re-emerging at lower levels.
The gold-to-silver ratio currently stands at 96.75 to 1, which means the amount of silver required to buy one ounce of gold.
Silver prices declined Rs 245 to Rs 50,975 per kg from its closing on July 9.
In the futures market, gold rate touched an intraday high of Rs 49,150 and an intraday low of Rs 48,825 on the Multi-Commodity Exchange (MCX). For the August series, the yellow metal touched a low of Rs 39,200 and a high of Rs 49,348.
Gold futures for August delivery gained Rs 217, or 0.44 percent, at Rs 49,095 per 10 gram in evening trade on a business turnover of 10,229 lots. The same for October delivery was up Rs 184, or 0.38 percent, at Rs 49,222 on a business turnover of 9,591 lots.
The value of the August and October contracts traded so far is Rs 2,951.03 crore and Rs 146.88 crore, respectively.
Similarly, Gold Mini contract for August jumped Rs 178, or 0.36 percent at Rs 49,074 on a business turnover of 11,130 lots.
At 12:12 (GMT), spot gold was up $4.02 at $1,807.57 an ounce in London trading.
For all commodities related news, click here
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
