Gold prices hit a historic high of Rs 70,050 per 10 gm on Thursday

Gold prices: Gold prices soared by Rs 850, reaching a historic high of Rs 70,050 per 10 grams on Thursday, propelled by robust global cues, as reported by HDFC Securities. This surge marks the second consecutive session of record-breaking prices for the precious metal. In the preceding trade, gold settled at Rs 69,200 per 10 grams. Simultaneously, silver prices experienced a notable uptick, climbing Rs 1,000 to touch an unprecedented Rs 81,700 per kg, after closing at Rs 80,700 per kg in the previous session.

Saumil Gandhi, the Senior Analyst of Commodities at HDFC Securities, noted, "Spot gold prices (24 carats) in the Delhi markets are trading at Rs 70,050 per 10 grams, up by Rs 850, amid a bullish trend in the overseas markets." Indeed, international spot gold at COMEX surged to USD 2,297 per ounce, a USD 22 increase from the prior close.

The fresh surge in gold prices comes in the wake of Federal Reserve Chair Jerome Powell's affirmation that an interest rate cut would likely be warranted "at some point this year." Market sentiment appears to be more focused on the anticipation of rate cuts rather than the timing of their occurrence, according to Gandhi.

Silver prices also saw an upward trajectory, trading higher at USD 27.05 per ounce compared to the previous session's close of USD 26.25 per ounce. Navneet Damani, Senior VP of Commodity Research at Motilal Oswal Financial Services, attributed the surge in both gold and silver prices to several factors, including the weakening of the dollar, uncertainty surrounding US interest rate cuts, and heightened safe-haven demand.

With PTI Inputs