Mumbai: Gold prices continued to rise for the eighth day this week, increasing by Rs 200 to cross the Rs 83,000 mark per 10 grams for the first time in the national capital, as market concerns about policy uncertainty under US President Donald Trump pushed demand for the yellow metal.
As per the All India Sarafa Association, gold with 99.9 per cent purity reached a new record high of Rs 83,100 per 10 grams on Friday, up from Rs 82,900 on Thursday.
International gold prices also jumped to a near three-month high on Friday as it is trading around $2780, marking their fourth consecutive weekly gain.
Several factors are driving the rise in gold prices, including strong demand in the spot market, and positive global cues.
Experts believe that gold could continue to rise as uncertainty surrounding US President Trump’s trade policies and a flight to safe-haven assets ahead of key central bank policy meetings are keeping the metal in high demand.
“Markets continue to wait for Trump Tweets to gauge direction and till then it is likely that Gold will continue to remain in a band with a slightly upward bias,” said Sandip Raichura, CEO – Retail Broking and Distribution, Director – PL Broking and Distribution.
The next big trigger is the coming week’s Federal Reserve meet where any upward bias on yields could further dampen gold prices, he added.
Dr. Renisha Chainani, Head of Research at Augmont Gold said that the gold has given a breakout from its symmetrical triangle, and prices have sustained above $2,750 (Rs 79,100), so we can see further momentum towards $2800 (Rs 80,500) this week.
On January 23, gold prices in the national capital touched a fresh record high of Rs 82,900 per 10 grams.
(IANS)
