Delhi. Gold prices rose by Rs 1,853 to Rs 1.62 lakh per 10 grams in futures trade on Tuesday. Dollar weakness and improved global environment boosted demand for safe investments. On the Multi Commodity Exchange, the price of the contract for delivery in the month of April increased by Rs 1,853, or 1.16 percent, to Rs 1,62,252 per 10 grams. 7,355 lots were traded in this.
Analysts said gold prices recovered from losses in the previous session as the dollar weakened following US President Donald Trump’s comments. Trump has indicated that the ongoing conflict with Iran may now be nearing an end. In international markets, Comex gold futures for April contract rose $75.91, or 1.5 percent, to $5,179.61 an ounce.
The dollar index, which measures the dollar’s strength against six major rival currencies of the world, was trading 0.34 per cent lower at 98.84, which supported gold prices in overseas trade. “Gold prices rose to near $5,180 an ounce as the dollar weakened after President Trump hinted that the conflict in West Asia may end soon,” said Jigar Trivedi, senior research analyst at IndusInd Securities.
Silver futures price rose by Rs 10,442 to Rs 2.77 lakh per kg.
Due to strength in the international market and weakening of the US dollar, silver prices rose by Rs 10,442 to Rs 2.77 lakh per kg in futures trade on Tuesday. At the Multi Commodity Exchange, silver for delivery in May rose by Rs 10,442, or nearly four per cent, to Rs 2,77,602 per kg. 2,265 lots were traded in this.
Analysts said after falling in the previous session, silver prices rose due to weakness in the dollar and better sentiment in international markets. In overseas markets, silver futures for May contract rose US$5.07, or six per cent, to $89.59 an ounce in New York.
Renisha Chainani, head of research at Augmont, said, “Silver bounced back to around $90 after temporarily falling below $80 in the previous session, supported by US dollar weakness.” On Monday, US President Donald Trump had indicated that the military operation in Iran was nearing completion.
“Investors are now focusing on upcoming US inflation indicators, including the Consumer Price Index (CPI) and Personal Consumption Expenditure (PCE) price index, which will provide further signals on inflation trends and potential monetary policy direction,” Chainani said.
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