A Run of New Records: Why Did Gold Prices Jump Again After Gaining Rs. 1330 in a Single Day?

Over the last several days, there has been more of a surge in gold prices than a decline. Yellow metal had a two-day surge of Rs 1640, with the exception of Sunday, when prices were steady. On April 6, 2024, the price of gold had its largest increase of the month, rising by Rs 1200 to Rs 65,350/10 grams for 22k gold and Rs 1310 to Rs 71,290/10 grams for 24k yellow metal. The price of 22 carat gold increased by Rs 300 to Rs 65,650 today, while the price of 24 carat yellow metal increased by Rs 330 to Rs 71,620 per 10 kg.

Why Has the Price of Gold Been So High?
A record high in gold prices was reached on April 8, 2024, propelled by speculative purchasing and ongoing Middle East tensions that obscured last week’s strong U.S. payroll report. As of 06:46 GMT, spot gold was up 0.3% at $2,335.73 an ounce, having risen as high as $2,353.79 earlier in the day. Reuters reports that U.S. gold futures increased 0.4% to $2,354.50.

“If you look at futures pricing, we’re seeing indications now that there’s a bit of momentum chasing in the market… to some extent, we’re seeing a little bit of excessive optimism about the outlook for gold at the current level,” Capital.com financial market analyst Kyle Rodda said.

According to Rodda, geopolitical concerns in the Middle East could also be a factor in gold’s rise. As to the Reuters report, bullion has gained 12% so far this year because to strong purchases by central banks, demand from momentum-following funds, and safe-haven inflows due to rising geopolitical threats.

Mehta Equities Ltd’s VP of Commodities, Rahul Kalantri, said that gold may test $2,355 an ounce. Support and resistance levels for gold are $2,298–$2,278 per ounce and $2,331–$2,348 per ounce, respectively. In India, the price of gold is supported between ₹70,380 and ₹70,120 per gram, and it is resistant at ₹70,880 and ₹71,120 per gram.”

Yellow metal costs On April 8, 2024, in four major Indian cities:
Gold Rate Chennai: 10 kilos of 22-carat gold costs Rs 66,000, while 10 grams of 24-carat gold costs Rs 72,650 in Chennai today.

Mumbai Yellow Metal Price: On April 8, the price of 10 grams of 22-carat gold in Mumbai was Rs 65,650, while the price of 10 grams of 24-carat yellow metal was Rs 71,260.

Delhi Precious Metal Prices: On April 8, 10 kilos of 22-carat yellow metal cost Rs 65,800, while 10 grams of 24-carat gold cost Rs 71,770.

Kolkata’s Gold Price: On April 8, 2024, the price of 10 grams of 22 carat yellow metal in Kolkata is Rs 65,650, while the price of 10 grams of 24 carat gold is Rs 71,620.

Silver costs Today, there was a rally in India as well. After gaining Rs 1000, the price of one kilogram of silver in India is now Rs 84,500.