Gold Prices Rebound in India as Safe-Haven Demand Picks Up Amid US-Iran Uncertainty

Gold prices in India rose sharply on Thursday after declining for two consecutive sessions. The national rate for gold was Rs 1,44,330 per 10 grams for 24 karat gold, a jump of Rs 820 from Wednesday's levels of Rs 1,43,510.

The rate for 22 karat gold also increased to Rs 1,32,300 per 10 grams, up Rs 750 from the previous day. The price of 18 karat gold rose by Rs 620 to Rs 1,08,250 per 10 grams.

Analysts attributed the upturn in gold prices to profit booking and short-covering coming to an end after Wednesday's decline. Fresh safe-haven demand also picked up amid uncertainty over the Iran-US detente.

The softer dollar index following the US Federal Reserve's announcement also contributed to the rise in bullion prices.