Gold rate in India ended flat on Friday, while the international gold prices witnessed their best week in five led by weaker US jobs data this week that reinforced hopes for interest rate cut by the US Federal Reserve.
On Friday, MCX gold price ended 0.01% lower at ₹72,722 per 10 grams. The yellow metal opened at ₹71,730 level and gained over ₹1,000 during the day to hit a high of ₹72,888 led by strong demand on account of Akshaya Tritiya.
MCX silver price closed 0.09% higher at ₹84,984 per kg after opening at ₹84,761 and hitting a high of ₹85,812 during the day.
Also Read: Gold hits two-week high on US rate cut speculation; silver surges marginally
In the international market, US gold futures for June delivery settled 1.5% higher to $2,375.00 per ounce.
Gold gained more than 1% on Thursday after data showed a bigger-than-expected rise in weekly claims for state unemployment benefits.
The recent rally in gold prices has been driven by the market expectations that the US central bank will start easing its cycle in September. Lower interest rates tend to boost the appeal of bullion since it pays no interest.
The domestic gold rate traded near record high led by demand for physical gold in India during a key festival of Akshaya Tritiya 2024.
Also Read: Akshaya Tritiya 2024: Gold price rises ₹41,000 in five years. Experts see up to ₹85K peak next year
Meanwhile, India’s gold imports surged by 30% to $45.54 billion during 2023-24 from $35 billion in 2022-23, due to strong domestic demand, government data showed. In March this year, however, the imports of the precious metal contracted by 53.56% to $1.53 billion, as per the data released by the commerce ministry.
As per the ministry data, silver imports increased by 2.72% to $5.4 billion in FY24. India is the world’s second-biggest gold consumer after China.
Investors now look forward to the US producer price index and consumer price index data due next week, both of which could significantly impact gold and silver prices.
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Published: 11 May 2024, 07:28 AM IST