Gold gains Rs 1,050 to breach Rs 73k-mark; silver too hits fresh peak

New Delhi: Gold and silver prices rallied for the fourth straight session and hit fresh peaks on Friday, with the yellow metal gaining sharply by Rs 1,050 to breach Rs 73,000 per 10 grams level amid bullish global trend.

According to HDFC Securities, gold price surged Rs 1,050 to hit its lifetime high of Rs 73,350 per 10 grams in Delhi. It had closed at Rs 72,300 per 10 grams in the previous session.

Similarly, silver prices zoomed Rs 1,400 to hit a new record of Rs 86,300 per kg.

"Spot gold (24 carats) prices in the Delhi markets are trading at a record high of Rs 73,350 per 10 grams, up by Rs 1,050, taking positive cues from overseas markets," Saumil Gandhi, Senior Analyst of Commodities at HDFC Securities, said.

Commodity markets were partially closed on Thursday on account of Eid-Ul-Fitr.

In the global markets, spot gold at Comex traded at $2,388 per ounce, up $48 from the previous closing level.

Gold reached a new all-time high in the early hours of the European trading day on Friday. Safe haven demand supported the spike in precious metals following heightened Middle East tensions and the possibility of Iran retaliating against an Israeli strike on its embassy in Syria, Gandhi said.

In addition, silver was also quoting higher at $28.95 per ounce. In the previous session, it had settled at $28.05 per ounce.

Meanwhile, in the futures trade on the MCX, gold climbed to an all-time high of Rs 72,828 per 10 grams in the intra-day trade. The most-traded June contract of the yellow metal was trading at Rs 72,681 per 10 grams, up by Rs 1,037 or 1.45 per cent.

According to Praveen Singh, Associate VP, Fundamental Currencies and Commodities at Sharekhan by BNP Paribas, upcoming macroeconomic numbers to be announced by the UK and Germany as well as Chinese trade data will provide further direction for gold prices.

"The European Central Bank (ECB), as expected, kept the benchmark rates unchanged, but gave the indication that it could cut interest rates in June. The ECB President Christine Lagarde signalled that growing confidence on cooling inflation would lead the central bank to cut rates at its next policy meeting on June 6," Singh said.