Gold Prices Soar to Rs 1.46 Lakh Amid Geopolitical Uncertainty

Gold prices continued their upward trend for the second straight day, reaching Rs 1.46 lakh per 10 grams on the Multi Commodity Exchange (MCX). The October contract of gold rose by Rs 2,165 to Rs 1,46,464 per 10 grams, a gain of 1.5%.

The rally in gold prices is attributed to increased safe-haven buying amidst geopolitical uncertainty and a weaker US dollar. This has led to investors seeking refuge in gold as a hedge against potential losses in other assets.

Ajitabh Bharti, co-founder & executive director at CapitalXB, noted that the Reserve Bank of India's decision to keep its benchmark repo rate unchanged at 5.25% for a fourth consecutive policy meeting appears well balanced. The RBI is focusing on supporting growth while monitoring inflation carefully.