Gold price jumps to Rs 48,410 per 10 gm, silver at Rs 48,110 per kg

Gold prices on Monday rose to Rs 48,410 from Rs 48,400 per 10 gram, while silver climbed to Rs 48,110 from Rs 48,100 per kilogram on Saturday, according to Good Returns website.

Gold jewellery price varies across India, the second-largest consumer of the metal, due to excise duty, state taxes, and making charges.

In New Delhi, the price of 22-carat gold is holding steady at Rs 47,210 per 10 gram, while in Chennai it is Rs 46,410. In Mumbai, the rate is Rs 48,360, according to the Good Returns website. The price of 24-carat gold prices in Chennai is Rs 50,620. 

On MCX, August gold futures jumped 0.76 per cent to Rs 48,305 per 10 gram. Silver July futures rose nearly 0.52 per cent to Rs 48,365 per kilogram. MCX has decided to accept gold and silver bars refined at domestic refineries for deliveries, subject to final regulatory approval.

Gold price is likely to gain at least 12 per cent this calendar year on intermittent demand from institutional investors and safe haven buying from retail consumers, especially in the US where presidential elections are due in November.

Gold has proved to be a safe bet against a slowing global economy due to the increasing number of coronavirus (Covid-19) cases and geopolitical tensions with China. Gold has proved to be the only asset class in these uncertain times to offer 23 per cent returns in the first half of calendar 2020 and a staggering 41.6 per cent in the last one year. Since its level of Rs 27,840 per 10g in January 2017, gold investors have become richer by 72.6 per cent.

In international markets, gold prices reported a gain of 16.7 per cent in the first half of calendar 2020. Gold price in the London spot market is currently quoting at $1771.3 an oz, a rise of phenomenal 47.6 per cent since October 2018 and 25.7 per cent in one year.