Gold hits record $3,300/oz, closes in on Rs 1L/10gm mark

HYDERABAD: Escalation in US-China tariff struggle despatched gold costs hovering previous the $3,300/ounce mark for the primary time in worldwide spot markets on Wednesday, catapulting the yellow metallic to a brand new excessive of $3,318, pushing it to inside touching distance of the Rs 1 lakh/10 gm (24K) mark in the Indian market.
The value surge despatched the dear metallic racing to all-time highs in the home markets. Gold shot previous the Rs 98,000-mark in Delhi the place it was quoting at Rs 98,100 by night. On MCX too, gold reached an all-time excessive of Rs 95,435 for June futures.
“Gold rose to a new record high, surpassing the previous all-time peak set on Monday. Traders were whip-lashed again by a slew of tariff headlines; in the latest, US President Donald Trump ordered a probe into critical minerals, sparking a move toward safe haven assets,” mentioned Saumil Gandhi of HDFC Securities.
The skyrocketing costs have, nevertheless, considerably dampened client urge for food for the gold, which is promoting at a reduction to the import costs in native markets, identified Avinash Gupta, vice-chairman, All India Gem & Jewellery Domestic Council.

“Since the dip in prices to $2,982 on April 8, gold has shot up by $336/oz, an 11% increase in just the past eight days. This is the fastest rise in gold prices in a span of eight days, which confirms the parabolic movement in gold. Because of this steep price rise, gold is selling at a discounted price of 1-2% of the actual landing cost in India,” Gupta mentioned.
Surendra Mehta, nationwide secretary, India Bullion and Jewellers’ Association, mentioned the phenomenon has led to an unprecedented scenario the place there are extra customers strolling in to promote gold to both guide earnings or to alternate previous gold for brand new than these trooping in simply to purchase the dear metallic.
Gupta mentioned: “Whenever prices go up so drastically, consumer sentiments do take a beating, impacting retail sales. But in this case I suspect those who have run up losses on the stock markets may be booking profits in gold to offset their losses.”
However, at a time when the continued US-China commerce wars have set gold costs on fireplace, silver has did not match tempo. On Wednesday, worldwide spot costs for the white metallic have been at $32.8/oz and crossed the Rs 1 lakh/kg mark in the Delhi spot markets.
“The demand for silver is primarily driven by industrial demand but the tariff wars are threatening to spark off a recession. If these trade wars settle down, silver is the only metal that will rise at a quick pace,” Gupta mentioned.
The rally in gold could effectively run additional with specialists saying they count on the bullish momentum to proceed.