Today’s Gold and Silver Prices in Different Cities
Gold prices continued their upward trend for the fifth consecutive session, rising by Rs 110 to Rs 80,660 per 10 grams in the national capital on Monday, as per the All-India Sarafa Association.
New Delhi: Gold prices continued their upward trend for the fifth consecutive session, rising by Rs 110 to Rs 80,660 per 10 grams in the national capital on Monday, as per the All-India Sarafa Association.
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Gold Prices See Consistent Gains
The price of gold had settled at Rs 80,550 per 10 grams on Friday, and in the past five trading sessions, it has appreciated by Rs 1,660, or 2.1 percent, reaching Rs 80,660 per 10 grams.
Gold of 99.5% purity also saw a rise of Rs 110, closing at Rs 80,260 per 10 grams, compared to the previous session’s Rs 80,150 per 10 grams.
Impact of Weakened Rupee and Geopolitical Tensions
Jateen Trivedi, Vice President Research Analyst of Commodity and Currency at LKP Securities, attributed the rise in gold prices to the weakening of the Indian rupee, which dropped to a historic low of 86.62 against the US dollar. The rupee’s steepest single day fall in nearly two years was driven by a stronger American currency and surging crude oil prices. The increase in crude prices was linked to fresh sanctions imposed on Russia by US President Joe Biden, escalating geopolitical tensions.
Trivedi explained, “The rupee depreciation amplified the impact of global cues, supporting gold prices in the domestic market.”
Silver Prices Remain Stable
In contrast, silver remained flat for the second consecutive session, trading at Rs 93,000 per kg on Monday. Meanwhile, gold contracts for February delivery on the Multi Commodity Exchange (MCX) rose by Rs 227 (0.29 percent), reaching Rs 78,650 per 10 grams.
However, silver contracts for March delivery plunged by Rs 821 (0.89 percent), ending at Rs 91,685 per kg on the MCX.
Global Market Trends
In the international market, Comex gold futures saw a decline of USD 10.70 per ounce (0.39 percent), closing at USD 2,704.30 per ounce. Comex silver futures traded 1.4 percent lower at USD 30.88 per ounce in the Asian market.
Saumil Gandhi, Senior Analyst of Commodities at HDFC Securities, mentioned that the US Nonfarm Payrolls (NFP) report reinforced market expectations that the Federal Reserve will pause its rate-cutting cycle later this month. This has kept US Treasury bond yields elevated, putting pressure on gold prices.
Also Read: Today’s Gold and Silver Prices in Different Cities
Inflation Fears and Rate-Cutting Expectations
Despite a rise in US Treasury bond yields and a strong dollar, experts continue to highlight inflation concerns in the US. With consumer demand remaining robust, the upcoming release of US CPI inflation data will be closely watched for any signs of further rate-setting actions from the Federal Reserve.
Renisha Chainani, Head of Research at Augmont, noted that, “With the labour market no longer weakening and consumer demand still appearing strong, attention in the US has returned to inflation threats.”
