Gold rallies to record high of Rs 26,680 on global cues

Gold prices today surged further by Rs 430 to touch an all-time high of Rs 26,680 per 10 grams here, tracking firm trends in the global markets where adverse economic conditions boosted the metal's appeal as a protection of wealth.

The metal surpassed its previous record of Rs Rs 26,490 set on August 11. Gold of 99.9 and 99.5% purity shot up by Rs 430 each to record levels of Rs 26,680 and Rs 26,560 per 10 grams, respectively. 

Sovereigns followed suit and rose by Rs 300 to a new high of Rs 21,100 per piece of eight grams.

Market experts said trading sentiment remained bullish as the yellow metal climbed 0.2% to trade at $1,789.25 an ounce, nearing its all-time high of $1,814.95 an ounce, on concerns that Europe's sovereign debt crisis may escalate and hurt economic growth, fuelling demand for a haven.   

Besides, pick-up in local buying for the coming marriage season and metal's rally in the futures market also boosted the trading sentiment. In line with firming trend, silver also advance in the bullion market.

Silver ready rose further by Rs 500 to Rs 60,700 per kg and weekly-based delivery advanced by Rs 580 to Rs 60,045 per kg. Silver coins gained Rs 1,000 to Rs 67,000 for buying and Rs 68,000 for selling of 100 pieces.