Gold Prices Reach Seven-Week High in India Amid Weaker Rupee and Global Trends
Gold prices in India reached a seven-week high on Thursday, driven by a weaker rupee and firm global trends. The precious metal surged Rs 3,800 to Rs 1,53,800 per 10 grams (inclusive of all taxes) from Wednesday's closing level of Rs 1,50,000 per 10 grams.
This is the third consecutive session where gold prices have rallied. Silver also advanced Rs 2,100 to Rs 2,34,800 per kilogram (inclusive of all taxes). Traders attributed the increase to a weaker rupee and gains in overseas gold prices due to a softer US dollar and easing Treasury yields.
Gaurav Garg, Head of Research at Lemonn Markets Desk, said that the weaker dollar, softer US Treasury bond yields, and expectations of a diplomatic breakthrough in West Asia conflict have boosted demand for precious metal. Spot gold edged higher to USD 4,264.24 per ounce, while silver traded lower at 61.80 per ounce.