Amid COVID-19 volatility in financial markets, gold once again reiterated its safe-haven status with its future prices hitting a record high of Rs 45,724 per 10 grams in India on Tuesday.
Gold surged by Rs 2,000 per 10 grams in the futures market. However, the demand for gold this time around came mainly form investment and trading as jewellery purchases remained muted due to virus-related lockdown.
Gold is one commodity, investors do not wish to buy online. There is a large amount of trust involved in it, said a trader.
The gold price rose as coronavirus cases in the country surpassed 4,000-mark, making riskier assets such as equities less lucrative.
Gold was tracking gains from the international market, where its prices breached $1,700 per ounce mark amid hopes that central banks across the globe will announce further stimulus to revive the economies that are expected to pass through a deep recession amid the virus shocks.
Gold prices have jumped close to 20 per cent from the recent low of Rs 38,400 per 10 grams in mid-March, while silver futures are up by 23 per cent from the low of Rs 33,580 per kg.
Gold on MCX traded up by 3.43 per cent at Rs 45,210.
(Published 07 April 2020, 12:05 IST)
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