Gold Prices Soar in India as Retailers Step Up Buying

Gold prices surged in India's national capital on August 18, reaching Rs 1.58 lakh per 10 grams, a gain of Rs 2,000 from the previous day's closing price. This marks the second consecutive session of gains for gold.

Silver also saw an increase, rising by Rs 730 to Rs 2,40,730 per kilogram. The All India Sarafa Association reported this rise in prices.

The global market was mixed, with spot gold trading 0.5% lower at USD 4,394.57 per ounce and silver dropping over 1% to USD 65.08 per ounce. However, the global investment story remains positive, with total known gold-backed exchange-traded fund holdings rising to 97.39 million ounces.

Commodity experts point out that the broader backdrop for bullion is constructive, supported by softer Fed rate expectations and sustained central bank buying led by China. The focus now shifts to the minutes of the Federal Open Market Committee's July meeting for insights on the US monetary policy outlook.