Bullion, base metals, crude oil jump on US Fed's surprise interest rate cut

Gold and silver rise sharply on safe-haven appeal in a global economy prone to more downside risk

Base metals’ prices jumped by 1-2 per cent on Wednesday after the United States Federal Reserve (US Fed) announced a 50 basis points (bps) emergency interest rate cut. The Fed also confirmed high downside risk for the global economy as a result of increasing number of coronavirus (COVID-19) cases across the world. 

Gold and silver price increased 2-3 per cent in the Mumbai spot market, while copper contract for delivery in three months on the benchmark London Metal Exchange (LME) jumped 1 per cent to trade at $5,725 a tonne in early afternoon trade. 

Nickel rose by 1.9 per cent to $12,795