Gold prices on the Multi Commodity Exchange (MCX) opened sharply higher on Friday, breaching the ₹1 lakh mark per 10 grams for the first time. The rally was driven by rising geopolitical tensions in the Middle East, which boosted safe-haven demand for the yellow metal. Silver prices also saw gains in early trade.
MCX gold opened at ₹99,500 per 10 grams, up ₹1,108 or 1.12% from the previous close of ₹98,392. Shortly after, prices surged to ₹1,00,403, crossing the psychological ₹1 lakh threshold. By 12:44 p.m., gold was trading at ₹99,673, up 1.30%.
Retail gold prices in India reflected the same trend. According to the India Bullion and Jewellers Association (IBJA), as of 12:50 p.m., 22-carat gold was priced at ₹9,679 per gram, while 24-carat gold stood at ₹9,917 per gram.
Silver mirrored gold’s upward movement. It opened at ₹1,06,450 per kg, up ₹565 or 0.53% from the previous close of ₹1,05,885. It touched a high of ₹1,06,799 and was trading at ₹1,06,328 per kg, up 0.42% at 12:45 p.m.
The rise in domestic prices is in line with the global trend, where gold hit its highest level in over a month. Spot gold rose 1.3% to $3,428.28 an ounce after reaching its highest level since May 7. U.S. gold futures were up 1.4% at $3,449.60. The metal has gained over 3.5% so far this week.
The surge in bullion prices comes amid heightened tensions between Israel and Iran. Reports suggest that Israel carried out airstrikes targeting Iran’s nuclear and military facilities, sparking fears of a wider regional conflict.
Geopolitical uncertainty often drives investors towards gold, widely regarded as a safe-haven asset during crises.
Colin Shah, Managing Director of Kama Jewelry, commented on the surge: “Gold prices in India hitting an all-time high is on expected lines given the latest developments in geopolitical tensions and the weakening of the Indian rupee.”
He added that while gold may face short-term resistance, it is likely to hover between ₹1,00,200 and ₹1,00,500 per 10 grams on the MCX, depending on how international economic and political events unfold.
-IANS
