New Delhi: Gold prices today hit a fresh all-time high of Rs 50,021 per 10 grams, backed by positive trends in international rates, coupled with a weaker dollar. With today’s surge in the prices of yellow metal, Gold prices have climbed up 28 per cent on a year-to-date basis.
Bucking the trend, silver September futures have hit a 7-year high of Rs 60,782 per kg on MCX. “The drivers pushing the gold and silver prices higher are loose monetary policy and low real yields,” Bhavik Patel, Senior Technical Research Analyst at Tradebulls Securities, told Financial Express Online. “EU leaders gave a massive stimulus package of 750 billion euro to deal with coronavirus economic fallout and the market is hoping for a $1 trillion rescue package from Republicans, less than $3.5 trillion proposed by Democrats,” he added.
From March lows of Rs 38,500 per 10 grams, MCX gold prices have rallied 30 per cent, while silver futures have zoomed a whopping 81 per cent from Rs 33,580 per kg, hit in March this year. Silver prices touched a record high of Rs 73,600 per kg in 2011.
Analysts say that It’s a matter of time before MCX gold hits a magical Rs 50,000 per 10 grams as Comex gold is heading towards an all-time high of $1,912. “Soft Dollar, stimulus packages from the EU and the US have underpinned the yellow metal,” said Jigar Trivedi, Fundamental Research Analyst at Anand Rathi Shares and Stock Brokers. “The safe-haven investment demand further went up as US President Donald Trump has said the coronavirus situation could worsen before it gets under control,” he added.
