Mumbai, June 02: The price of gold in India touched an all-time high on Tuesday on account of uncertainty in global markets and a weak rupee.
The price of standard gold (99.5 purity) in Delhi breached the Rs19,000 mark. In Mumbai, the metal closed at Rs18,750 per 10gm, up by Rs345 from Monday’s close.
Gold has gained close to 9.2% in a month, going up by Rs1,580 since May 3. The rupee has fallen 5.88% against the dollar in the period.
The volatility in global equity and currency markets on account of Euro zone debt concerns has been driving global investors towards the “safe haven” of gold. The international gold price, which touched an all-time high of $1,248.55 per ounce (1 ounce = 28.35 gm) on May 14, is at present $1,224.77 per ounce.
Experts believe gold may continue to outperform equity markets in the near term. “We continue to remain bullish on gold and international gold prices may soon test new highs in face of uncertainty in global equity markets.
However, retail investors looking to buy would be better off waiting till Diwali as we may see prices retreating till then,” said Kuljeet Kataria, head, commodities, Motilal Oswal Financial Services.
—Agencies