Gold jumps Rs 773 on safe-haven appeal

Gold on Friday jumped Rs 773 to Rs 45,343 per 10 gram in the national capital as mounting worries over the economic fallout from the fast-spreading coronavirus drove investors towards the safe-haven metal.

In the previous trade, the precious metal had closed at Rs 44,570 per 10 gram, according to HDFC Securities.

Silver prices also rose by Rs 192 to Rs 48,180 per kg as compared to the previous close of Rs 47,988 per kg.

"Spot gold of 24 karat in Delhi rallied by Rs 773 with spot prices crossing Rs 45,300. The spot rupee was trading around 23 paise weaker against the dollar during the day," HDFC Securities Senior Analyst (Commodities) Tapan Patel said.

The rupee plunged 65 paise to 73.99 against the US currency in opening trade on Friday.

Equity benchmark Sensex plummeted over 1,400 points in opening session on Friday led by massive sell-off in bank stocks. Concerns over the economic strain of the coronavirus outbreak also made investors nervous.

In the international market, gold was trading with gains at USD 1,678 per ounce and silver at USD 17.34 per ounce.

"Gold prices traded up on spreading coronavirus and concerns of global economic growth," he added.

Navneet Damani, vice-president (commodities research), Motilal Oswal Financial Services, said, "Gold prices rallied as mounting worries over the economic fallout from the fast-spreading coronavirus drove investors towards the safe-haven metal. Cases outside China are continuously on the rise, death toll and affected people cases are increasing at the fastest pace in the US, India, South Korea, Iran and few others.