Gold prices surge by ₹600 to ₹78,050 amid strong global trends; silver up ₹1,500

Gold prices rose ₹600 to ₹78,050 per 10 grams in Delhi on Tuesday, November 19, amid a strong global trend in the foreign markets, according to the All India Sarafa Association, reported the news agency PTI. The precious yellow metal with 99.9 per cent purity closed at ₹77,450 per 10 grams the previous day. 

The 99.5 per cent purity gold rose ₹600 to ₹77,650 per 10 grams, compared to ₹77,050 per 10 grams in the previous market session. The rise in gold prices is also attributed to an increase in purchases from local jewellers and retailers for the wedding season, according to traders cited in the news report.

Gold futures for the December contract on the Multi Commodity Exchange (MCX) index rose 0.64 per cent or ₹477 at ₹75,524 per 10 grams as of 9:54 p.m. on November 19, compared to ₹75, 047 per 10 grams at the previous market close.

“MCX gold prices experienced a rebound in the last session after several days of underperformance, largely due to a pullback in the dollar index,” Deveya Gaglani, Senior Research Analyst at Axis Securities, told the news agency. 

On the Silver front, the commodity jumped ₹1,500 to ₹93,500 per kilogram, compared to ₹92,000 per kilogram at the previous market close. The Silver futures December contract fell 0.04 per cent or ₹36 at ₹90,477 per kilogram as of 9:54 p.m., compared to ₹90,513 at the previous close.

Global Gold

The spot gold in the global markets rose 0.6 per cent to $2,626.53 per ounce by 10:11 a.m. EST (15:11 GMT), hitting its highest level since November 11.

Comex gold futures rose $19.50 per ounce or 0.75 per cent at $2,634.10 per ounce. 

“Gold prices moved higher as geopolitical tensions escalated, with renewed fears surrounding nuclear risks in the ongoing Russia-Ukraine conflict driving a surge in safe-haven demand boosting gold's appeal,” Jateen Trivedi, VP Research Analyst - Commodity and Currency at LKP Securities, told the news agency. 

Comex silver futures were trading 0.79 per cent higher at $31.47 per ounce in the Asian trading hours.

A Goldman Sachs cited by the agency estimates a substantial increase in precious metal prices for the coming year, driven by heightened central bank acquisitions and expected reductions in US interest rates. The target for the gold prices is $3,000 per ounce by December 2025.