Gold surges to near record on frantic buying

Gold prices surged to near-record levels, climbing Rs 155 to settle the day at Rs 15,650 per 10 gm in the bullion market here on frantic buying by stockists and jewellers influenced by a firming trend in the overseas markets.

The precious metal had touched an all-time high of Rs 15,750 per 10 gm on February 18, with the prices in international markets zooming to a n11-month high of $1,006.29 an ounce.

In the Mumbai bullion market, standrad gold rose to Rs 15,665 per 10 gm from the previous close of Rs 15,390. Pure gold closed at Rs 15,725, up from Rs 15, 460 per 10 gm while silver surged to Rs 22,330 a kg from Rs 21,935 at the previous close.

Marketmen said buying activity in precious metals picked up as equity and forex markets turned volatile.

leaving no other opention for investors but to park their funds in bullion as safe a hedge. Silver also joined the upward march by spurting Rs 550 to Rs 22,100 a kg on brisk buying as stockists and industrial units felt a constant fall in last few sessions was excessive amid turmoin in global fianncial markets.

Bullion, which normally moves in tandem with the global trend, rose by $14.35 to $956.70 an ounce and silver added 1.8 per cent to $13.35 an ounce. In London, gold tumbled 5.1 per cent last week to $927.76, the lowest since February 11.