Gold prices touched an all-time-high level on Monday despite low demand. The yellow metal, which is traditionally seen as a safe investment in uncertain times, costs more than Rs 38, 000 per 10 gram of 24k carat in all major cities in the country today. The gold price is likely to hit Rs 40,000 per 10 gram by the end of this year, analysts said.
Gold prices surged because the investors parked their money into the yellow metal amid rising in volatility in the domestic and international equity markets. World currency markets went into a tizzy earlier this week after China allowed its currency weaken beyond 7 yuan per dollar in a surprise move. The investors took the move as retaliation for US President Donald Trump’s announcement of more tariffs on Chinese imports. Standard gold (995 purity) was trading at Rs 36,850 on Wednesday in Mumbai’s physical market. The price was nearly Rs 1,000 lower than in the futures market, reports said.
Gold price in 4 major cities today:
Delhi: 10g of 24k gold (99.9%) costs Rs 38,465.00 in Delhi
Mumbai: 10g of 24k gold (99.9%) costs Rs 38,375.00
Kolkata: 10g of 24k gold (99.9%) costs Rs 38,395.00
Chennai: 10g of 24k gold (99.9%) costs Rs 38,720.00
Why people prefer gold?
– Gold can be easily sold in the market in case there is a financial problem
– Investment in gold can protect buyers against the devaluation of fiat currencies and from volatile stock markets
– Gold is considered as the safest option to avail instant bank loan
– Sometimes, people sell old gold to take advantage of the rise in price in the market and buy gold when gold prices fall