Gold prices soared by Rs 3,600 to touch record high of Rs 1,02,620 per 10 grams in the New Delhi on Thursday, as global investors rushed towards safe-haven assets.
The jump followed the US president Donald Trump announcement of a 25 per cent additional tariff on Indian imports, heightening trade tensions and fuelling uncertainty in the markets.
In Delhi, gold of 99.9 per cent purity had ended at Rs 99,020 per 10 grams on Wednesday. Similarly, gold of 99.5 per cent purity also rallied Rs 3,600 to reach Rs 1,02,200 per 10 grams (inclusive of all taxes) on Thursday, after closing at Rs 98,600 in the previous session.
“Gold prices have risen to the upper end of the weekly range on Thursday, driven by renewed trade concerns that have increased demand for traditional safe-haven assets. Additionally, the US administration imposed an additional 25 per cent tariff on Indian imports, intensifying the trade tensions between the two economies,” said Saumil Gandhi, Senior Analyst, Commodities at HDFC Securities.
Silver prices also recorded a significant rise, climbing Rs 1,500 to Rs 1,14,000 per kilogram (inclusive of all taxes). On the previous day, silver had closed at Rs 1,12,500 per kg.
In futures trade, gold continued its upward momentum on the Multi Commodity Exchange (MCX). The most traded October contracts rose Rs 893, or 0.88 per cent, to hit a fresh peak of Rs 1,02,155 per 10 grams. Meanwhile, December contracts advanced by Rs 880, or 0.86 per cent, to a record Rs 1,03,047 per 10 grams.
Silver futures also witnessed a steep rise, with September contracts gaining Rs 1,503 or 1.32 per cent to touch Rs 1,15,158 per kilogram on MCX.
On the global front, spot gold rose USD 9.76 or 0.29 per cent to USD 3,379.15 per ounce in New York. The precious metal remained supported by weakness in the dollar index, which dropped below 98.
“Gold traded positive as the precious metal in the international market remained firm above the USD 3,375 level, supported by dollar index weakness below 98. With limited impactful data lined up this week, focus remains on global trade tariffs and fresh Russian sanctions — both contributing to elevated gold prices,” said JateenTrivedi, VP Research Analyst, Commodity and Currency at LKP Securities.
Spot silver in overseas markets was also trading higher at USD 38.34 per ounce, marking a 1.37 per cent increase.
“The US President Donald Trump is threatening 100 per cent tariffs on chip imports, and trade tensions are positive for the yellow metal. In addition, President Trump is likely to announce the next Fed Chair this week,” said Praveen Singh, Associate VP, Fundamental Currencies and Commodities, Mirae Asset Share Khan.
Singh added that the incoming Fed Chair is expected to lean towards interest rate cuts, which could further support gold prices.
KaynatChainwala, AVP – Commodity Research at Kotak Securities, noted that market participants are watching the US jobless claims data expected later in the day, which could provide further clarity on interest rate trends and influence bullion market sentiment.
Globally, Comex gold futures for December delivery rose 0.49 per cent to USD 3,385.98 per ounce in New York.
