Gold prices climb to Rs 18,370 on brisk buying

Gold prices climbed by Rs 70 to the near-record level of Rs 18,370 per ten grams in the national capital today on brisk buying for the ongoing marriage season amid a firming trend in overseas markets.

The improved buying activity in the domestic market was on account of the current marriage season and approaching Akshiya Tritiya festival, falling on Sunday. A record gold price of Rs 18,550 per ten grams was registered on December 3.

Standard gold and ornaments prices rose by Rs 70 each to Rs 18,370 and Rs 18,220 per ten grams respectively. Sovereigns also gained by Rs 25 to Rs 14,425 per piece of eight grams.

The price of gold in overseas markets, which normally sets the trend on the domestic front, gained 0.3 per cent to $1,236.53 an ounce.

The uptrend was supported by a surge in the price of the precious metal in Asia as investors bought gold on speculation that Europe’s debt-cutting measures will slow global economic growth.

Furthermore, some investors were seen shifting their funds from melting equity and forex markets to bullion as a safe hedge, which buttressed demand.

With the general firming trend, silver prices also rose by Rs 150 to Rs 29,900 per kg on increased offtake by industrial units.

Silver ready prices rose by Rs 150 to Rs 29,900 per kg and weekly-based delivery by Rs 100 to Rs 29,850 per kg. However, the price of silver coins held steady at Rs 34,400 for buying and Rs 34,500 for selling of 100 pieces.