HYDERABAD: Gold scaled to an all-time high of Rs 65,150 per 10gm on MCX (April contract) on Tuesday, anticipating the US Federal Reserve cutting rates in June.
The yellow metal scaled a new peak in the domestic market after it closed at an all-time high over $2,114 per ounce in the international spot market on Monday night.
On Tuesday, prices of 24K gold (999 purity) barrelled past the Rs 65,000 per 10gm mark (including import duties) in local Indian markets – vaulting a hefty Rs 800 per 10gm intraday – as international spot gold prices shot past the $2,141 per ounce mark.
“Weak US macroeconomic data from last week, combined with less hawkish remarks from the US Federal Reserve officials, reaffirmed betting on a June rate cut, which lifted the Comex spot gold price to near a record high. In domestic markets, spot gold hit a new all-time high of Rs 65,000 on Tuesday,” said Saumil Gandhi, senior analyst (commodities), HDFC Securities.
Indian Bullion & Jewellers Association national secretary Surendra Mehta said international spot gold had scaled a high of $2,141 per ounce, breaking the previous high of $2,135 on the back of expectations of US Fed rate cuts, ongoing tensions in the Middle East, the property crisis in China, falling bond yields as well as a weakening dollar index, Mehta said.
According to Anil Jain of M Nemichand Jain Jewellers, the long-term target for gold is now $2,550 per ounce but only after it witnesses a correction to $2,080 per ounce levels.
The yellow metal scaled a new peak in the domestic market after it closed at an all-time high over $2,114 per ounce in the international spot market on Monday night.
On Tuesday, prices of 24K gold (999 purity) barrelled past the Rs 65,000 per 10gm mark (including import duties) in local Indian markets – vaulting a hefty Rs 800 per 10gm intraday – as international spot gold prices shot past the $2,141 per ounce mark.
“Weak US macroeconomic data from last week, combined with less hawkish remarks from the US Federal Reserve officials, reaffirmed betting on a June rate cut, which lifted the Comex spot gold price to near a record high. In domestic markets, spot gold hit a new all-time high of Rs 65,000 on Tuesday,” said Saumil Gandhi, senior analyst (commodities), HDFC Securities.
Indian Bullion & Jewellers Association national secretary Surendra Mehta said international spot gold had scaled a high of $2,141 per ounce, breaking the previous high of $2,135 on the back of expectations of US Fed rate cuts, ongoing tensions in the Middle East, the property crisis in China, falling bond yields as well as a weakening dollar index, Mehta said.
According to Anil Jain of M Nemichand Jain Jewellers, the long-term target for gold is now $2,550 per ounce but only after it witnesses a correction to $2,080 per ounce levels.
Source Agencies
