In recent weeks, gold prices have been on an unprecedented rise, marking a new milestone in the precious metal’s value. For the first time, gold crossed the 85,000 rupee mark on the Multi Commodity Exchange (MCX), indicating a significant upward trend in the market. With an increase of over 800 rupees observed between 9 and 10 PM, gold now stands at a staggering 85,200 rupees per 10 grams. Analysts predict further escalation in prices in the upcoming days, highlighting that gold has already delivered more than an 11% return in the futures market this year. Let’s dive deeper into the recent trends and implications of these soaring gold prices in India.
Gold Hits New Record High
The prices of gold on the Multi Commodity Exchange have continued to set new records. According to MCX statistics, on February 7, between 9 and 10 PM, gold prices surged by 835 rupees per 10 grams, reaching a lifetime high of 85,279 rupees. On the same day, gold opened at 84,653 rupees but dipped to a low of 84,433 rupees before stabilizing. The previous day’s close was at 84,444 rupees, indicating volatility in the market.
Yearly Price Increase
This year has seen a remarkable increase in gold prices. Data indicates more than a 10% rise in the value of gold, with prices rising from 77,456 rupees on December 31 to 85,279 rupees currently. This translates to an increase of 7,823 rupees per 10 grams, showcasing gold’s strong upward trajectory. Experts suggest that the upward trend may continue, boosting market optimism among investors.
International Market Trends
On the international front, gold prices are also soaring, surpassing 2,900 dollars per ounce. During trading sessions, gold futures reached approximately 2,906.10 dollars, marking a 1.02% increase of 29.40 dollars. In contrast, silver prices are exhibiting pressure, trading over 32 dollars per ounce, reflecting different market dynamics.
Factors Behind the Surge
The surge in gold prices can be attributed to the latest U.S. employment statistics, which indicated the world’s largest economy created fewer jobs than expected in January. This mixed data has resulted in a relatively unchanged outlook for interest rates. A report from Reuters states that non-farm payrolls increased by 143,000 in January, falling short of expectations of 170,000 and significantly lower than December’s revised 307,000.
Expert Opinions
Renisha Chainani, Head of Research at Augmont, noted that ongoing geopolitical uncertainties and inflation concerns are expected to keep gold and silver in demand as safe-haven assets. She remains optimistic about gold’s long-term potential and anticipates that bullion could reach above the 85,000 rupee mark. Furthermore, she expects international gold prices to approach the 3,000 dollar level.
| Date | Gold Price (per 10 grams in Rupees) | Change (in Rupees) |
|---|---|---|
| December 31, 2022 | 77,456 | – |
| February 7, 2023 | 85,279 | 7,823 |