Gold jumps Rs500, silver remains flat

New Delhi: Gold prices jumped Rs500 to Rs72,850 per 10 grams in the national capital on Tuesday amid strong cues from the global market and a rise in domestic demand. In the previous session, the precious metal of 99.9 per cent purity had settled at Rs72,350 per 10 grams on Monday. However, silver prices remained flat at Rs83,500 per kilogram on Tuesday, according to the All India Sarafa Association. Meanwhile, gold of 99.5 per cent purity also rallied by Rs500 to Rs72,500 per 10 grams against the previous close. Traders attributed the rise in gold prices to the rising demand from retail buyers as well as jewellers.

In the overseas market, gold is trading at $2,502.70 per ounce, up by $1.30 per ounce. “Gold’s gains on Tuesday as demand for safe-haven assets continued to support the precious metal’s rise. “Further, there were concerns that Iran could strike Israel as early as this week have raised the gold-safe haven premium,” Saumil Gandhi, Senior Analyst, Commodities at HDFC Securities, said. According to Kaynat Chainwala, AVP-Commodity Research, Kotak Securities, Comex gold surged by 1.2 per cent to an all-time closing high of $2,504 per ounce on Monday, driven by escalating tensions in the Middle East, a decline in US Treasury yields, and expectations of the US Federal Reserve interest rate cuts at its September 18 meeting.