Gold prices continued their upward trajectory for the eighth consecutive session, surpassing the psychological threshold of Rs 83,000 per 10 grams for the first time in New Delhi on Friday. The surge came as a result of strong buying activity driven by global market uncertainties.
The All India Sarafa Association reported that 99.9% pure gold rose by Rs 200, reaching a new all-time high of Rs 83,100 per 10 grams. In contrast, it had closed at Rs 82,900 per 10 grams the previous day.
Saumil Gandhi, Senior Analyst at HDFC Securities, noted that the rally in gold prices was fueled by a surge in safe-haven demand due to global market turmoil, particularly uncertainty surrounding potential U.S. tariffs and policies under President Donald Trump.
Gold of 99.5% purity also saw a rise, appreciating by Rs 200 to reach a fresh record of Rs 82,700 per 10 grams, compared to the previous closing of Rs 82,500 per 10 grams.
Silver prices also saw a significant rise, climbing by Rs 500 to Rs 94,000 per kg on Friday, after closing at Rs 93,500 per kg in the prior session.
In the futures market, gold contracts for February delivery on the MCX rose by Rs 334, or 0.42%, to Rs 79,960 per 10 grams. In intraday trading, gold hit a near-record high of Rs 80,050 per 10 grams. Deveya Gaglani, Research Analyst at Axis Securities, suggested that the uncertainty surrounding Trump’s trade policies was contributing to the heightened demand for safe-haven assets like gold.
Silver futures for March delivery on the MCX surged by Rs 835, or 0.92%, to Rs 91,984 per kg.
Internationally, Comex gold futures saw a rise of USD 15.50 per ounce, or 0.56%, reaching USD 2,780.50 per ounce. Comex silver futures also increased by 1.53%, trading at USD 31.32 per ounce during Asian market hours.
Experts are advising investors to keep an eye on key global indicators, such as the flash PMIs and US housing data, to gauge the economic outlook. Additionally, Jateen Trivedi, VP of Research at LKP Securities, pointed out that the upcoming Union Budget and the US Federal Reserve’s interest rate decision are likely to influence future bullion price movements.
