New Delhi: Gold and silver prices bounced back strongly in the national capital on Monday after falling for several sessions. A weaker rupee and fresh gains in global bullion markets helped revive buying interest in precious metals.
The recovery came after sharp corrections seen in both metals last week.
Gold Ends Four-Day Losing Streak
According to the All India Sarafa Association, gold of 99.9 percent purity rose by Rs 1,700 to close at Rs 1,52,300 per 10 grams, including all taxes.
In the previous trading session, gold had settled at Rs 1,50,600 per 10 grams.
This marks the first rise in gold prices after four consecutive sessions of decline.
Traders said the fall in the rupee made imported gold costlier, which supported domestic prices.
Silver Sees Sharp Recovery
Silver also witnessed strong buying and recovered sharply.
The white metal jumped Rs 4,800 to Rs 2,45,500 per kilogram, including all taxes.
In the previous session, silver had dropped heavily by Rs 8,040 and closed at Rs 2,40,700 per kg.
Market participants said bargain buying emerged after the recent correction, helping silver regain lost ground.
Global Markets Support Bullion
Bullion prices also moved higher in international markets, supporting domestic sentiment.
Spot gold rose by USD 49.93, or 1.2 percent , to USD 4,210.19 per ounce.
Silver gained 2.4 percent to trade at USD 66.47 per ounce.
Analysts said easing geopolitical tensions after progress in US-Iran talks improved overall market confidence, but bullion still attracted buyers due to safe-haven demand.
US Rate Outlook In Focus
Experts said further gains in gold and silver may remain limited because of concerns over US interest rates.
Higher interest rates usually reduce the appeal of non-yielding assets like gold.
Investors are now closely watching upcoming US labour market data, especially non-farm payrolls and unemployment figures.
These economic indicators are expected to provide important signals on the future path of US Federal Reserve interest rates.
