NEW DELHI: Gold prices rose to Rs170 to hit a fresh record high of Rs82,900 per 10 grams in the national capital on Thursday, supported by a positive global trend, according to the All India Sarafa Association.
The precious metal had closed at Rs82,730 per 10 grams on Wednesday.
Over the past year, gold has surged Rs20,180 or 32.17 per cent, rising from Rs62,720 per 10 grams on February 23, 2024, to the current record of Rs82,900 per 10 grams.
Extending its gains for the seventh straight session, gold of 99.5 per cent purity appreciated by Rs170 to reach an all-time high of Rs82,500 per 10 grams.
It had finished at Rs82,330 per 10 grams in the previous session. Gold of 99.9 and 99.5 per cent purity gained Rs2,320 each over the past seven trading days.
Silver loses shine
Meanwhile, silver prices fell Rs500 to Rs93,500 per kg, down from Rs94,000 per kg on Wednesday.
Bullion traders attributed the rise in gold prices to robust demand from jewellers and retailers, coupled with a strong trend in international markets.
On the Multi Commodity Exchange (MCX), gold contracts for February delivery rose Rs19 or 0.02 per cent to trade at Rs79,583 per 10 grams on Thursday.
However, silver futures fell Rs422 or 0.46 per cent to Rs91,522 per kg from the previous close of Rs91,944 per kg on Wednesday.
Comex gold futures fall
In the overseas markets, Comex gold futures fell $13.20 per ounce or 0.48 per cent to $2,757.70 per ounce.
“Gold prices traded flat-to-negative on Thursday, weighed down by a recovery in the US dollar and Treasury yields,” said Saumil Gandhi, Senior Analyst – Commodities at HDFC Securities.
He added that gains were capped as the US Dollar index and Treasury yields rose after a positive close in the previous session, prompting some profit-booking in gold.
Renisha Chainani, Head of Research at Augmont, noted that gold is on the verge of hitting record highs and could achieve this within the next day or two.
She attributed the bullish momentum to comments by newly elected US President Donald Trump on tariffs.
Silver Comex futures quoted 1.03 per cent lower in Asian market hours at $31.10 per ounce.
New taxes on Canada, Mexico
“Trump announced that his government was considering levying a 25 per cent tax on Canada and Mexico,” Chainani added.
The proposed policies by the US President are widely seen as inflationary, potentially prompting the Federal Reserve to maintain its hawkish stance and keep interest rates higher for longer to control price pressures.
Mexico, a top producer of silver, could face significant impacts depending on whether the tariffs include imports of the metal.
Market participants are now focused on the upcoming Federal Reserve policy meeting scheduled for January 29, which is expected to provide further cues on the trajectory of bullion prices, said Jateen Trivedi, VP Research Analyst of Commodity and Currency at LKP Securities.
