After declining for two days, the price of gold rose sharply by Rs 1,800 per 10g in the Ahmedabad market to touch an all-time high of Rs 58,000 per 10g. Gold prices are expected to rise further.
Spot gold prices in the international market rose to $1,863.18 per troy ounce. Prices are expected to rise further to a peak of Rs 61,000 per 10g in the local market.
“The rally in prices was seen amid expectations of a less aggressive Fed as a result of US jobs, non-farm payroll data, which caused the dollar index and treasury yields to slip. Safe haven investments in gold increased due to the uncertain economic situation globally. Moreover, the depreciation of the Indian rupee has led to an effective increase in gold prices here,” said Haresh Acharya, director, India Bullion and Jewellers’ Association.