Gold and silver prices have exhibited an upward trajectory on the Multi Commodity Exchange (MCX) as of October 18, Wednesday.
On the MCX, gold futures, which are set to mature on December 5, 2023, are positioned at Rs 59,716 per 10 grams. This reflects a slight upswing of Rs 457 or 0.77 percent.
Similarly, silver futures, also maturing on December 5, 2023, experienced an increase of Rs 713 or 0.01 percent, with a trading value of Rs 72,288 per kilogram on the MCX.
In contrast, on October 17, the gold and silver prices were at Rs 59,218 per 10 grams and Rs 71,567 per kilogram, respectively, as the market concluded its activities.
The prices of gold and silver in India are subject to the influence of numerous determinants. One of these factors is the exchange rate of the rupee relative to the dollar. Additionally, the global demand for these precious metals assumes a significant role in shaping their pricing dynamics.
According to recent reports on the metal market, gold prices have escalated by 1 percent, reaching their highest point in a month on Wednesday. This surge was propelled by heightened concerns about the Gaza conflict's expansion, which has perpetuated the demand for this safe-haven asset, as disclosed by the news agency Reuters.
Conforming to the most recent data in the metal market, spot gold has ascended by 0.8 percent to reach $1,938.79 per ounce at 0248 GMT. This followed its ascent to the highest level recorded since September 20 earlier in that session. Furthermore, US gold futures also witnessed an increase of 0.8 percent, reaching $1,951.50.
Market strategist Yeap Jun Rong from IG has noted that "safe-haven flows amid geopolitical tensions in the Middle East have remained the dominant catalyst for gold prices."
It is noteworthy that gold prices have surged by over $100 since the initiation of the conflict, even in light of the robust economic data emerging from the United States. This data has fueled expectations of a prolonged phase of higher interest rates, which tend to exert upward pressure on the dollar and bond yields.
In tandem with these developments, Spot Silver has registered an advancement of 1 percent, reaching $23.05.
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