Gold Prices Hit Record High Amid Global Tensions

Gold Prices surged to a fresh lifetime high, reaching ₹69,487 on April 1, driven by international cues and geopolitical tensions. The precious metal gained nearly ₹1,800 per 10 grams in opening trade, reflecting investor appetite for safe-haven assets.

As of 9:30 am, MCX April gold futures were trading at ₹68,930 per 10 grams, marking a significant increase of ₹1,253 or 1.85%. Meanwhile, May silver futures traded at ₹75,787 per kg, up by ₹739 or 0.98%.

Factors Driving Gold Prices:

The upward trajectory in gold prices is attributed to positive international cues, with the Dollar Index hovering above 104 against a basket of top currencies. Geopolitical tensions and anticipation of rate cuts by the US Federal Reserve have further fueled the rally.

The Dollar Index has shown minimal gains in the past five trading sessions, contributing to the bullish sentiment surrounding gold. MCX Gold and Silver futures recorded gains, with the April gold contract settling at ₹67,725 and the May silver contract remaining flat at ₹75,044.

Reasons Behind the Price Surge:

Gold prices have risen amidst geopolitical unrest in the Middle East, coupled with expectations of a potential rate cut by the US Federal Reserve. The precious metal has witnessed a significant increase of 8.17% on MCX in March and 7.08% year-to-date, highlighting its appeal as a safe-haven asset.

Given the current market conditions and the uncertain global landscape, investors may consider gold a hedge against volatility and economic instability. The recent price surge underscores its role as a valuable asset in diversifying investment portfolios.

Get all the latest news on Indian daily post