Gold rises for fourth consecutive day, touches fresh high of Rs 38,995

Continuing its record-setting trend for the fourth consecutive day, gold prices rose Rs 25 on Friday to reach a record high of Rs 38,995 per 10 gram in the national capital amid a weaker rupee, according to the All India Sarafa Association.

Gold prices have been hitting a fresh high everyday since Tuesday.

Meanwhile, silver held steady at the previous level of Rs 45,100 per kg.  

Even as the precious metal lost steam overseas, persistent buying from jewellers mainly led to the rise in gold prices, traders said.

Besides, a weaker rupee also led to the increase in price of the precious metal.

The rupee declined below the 72 mark against the US currency in the opening session on Friday. It fell by 22 paise to trade at a nine-month low of 72.03 against the US dollar in early session.

In New York, spot gold was trading lower at USD 1,496.30 an ounce, while silver was almost flat at USD 17.11 an ounce.

“Globally, gold traded weak with international spot gold prices falling below USD 1,500 on Friday on positive US equity futures and stronger dollar index,” HDFC Securities Senior Analyst (Commodities) Tapan Patel said.

Traders are awaiting the key Jackson Hole meeting for cues on gold prices. Fed Chair Jerome Powell’s speech on Friday will be crucial for markets to get clarity over future rate cuts which may affect gold prices, Patel said.

In the national capital, gold of 99.9 per cent purity advanced Rs 25 to Rs 38,995 per 10 gram, while that of 99.5 per cent gained Rs 5 to Rs 38,825 per 10 gram.

Sovereign gold stood steady at 28,800 per eight gram. Silver ready held flat at 45,100 per kg, while weekly-based delivery declined Rs 99 to Rs 43,666 per kg. Silver coins held flat at Rs 91,000 for buying and Rs 92,000 for selling of 100 coins.