Title: Gold Prices Surge on MCX Amid Global Rally
The price of gold witnessed an upward surge on MCX (Multi Commodity Exchange) on Wednesday, with gold for June 5 delivery trading 0.44 percent higher at Rs 71,652 per 10 grams around 11:30 a.m.
The rally in domestic gold futures mirrored the global market’s momentum, where the yellow metal reached a record high.
Both gold and silver prices recorded gains on the Multi Commodity Exchange (MCX) during Wednesday’s trading session.
Gold futures maturing on June 5, 2024, stood at Rs 71,456 per 10 grams on the MCX, marking a jump of Rs 116 or 0.16 percent from the previous close of Rs 71,340.
In the global market, gold prices were near record-high levels of $2,351.94 per ounce on Wednesday morning. The surge in demand for gold, driven by substantial buying from central banks, comes amidst escalating geopolitical risks and rising inflation. Additionally, indications of a potential US Fed rate cut have heightened gold’s appeal as a safe-haven asset.
Gold prices have soared by up to 14 percent this year, maintaining a firm position in the Indian market. Prices in various Indian cities showed slight variations, with Delhi witnessing gold hovering around Rs 71,890 per 10 grams for 24-carat gold, while in Mumbai, it stood at Rs 71,790. Chennai recorded the highest price at Rs 72,150 per 10 grams of 24-carat gold, while in Kolkata and Bengaluru, the price hovered around Rs 71,280.
The demand for gold in the Indian market remains significant, particularly for jewelry, a traditional gift in marriages. However, jewellers express concerns over the soaring prices, which may deter middle-class families from purchasing gold due to affordability constraints.
