Gold price jumped sharply today in Indian markets amid the escalating Ukraine crisis. On MCX, gold futures surged 1.8% to Rs 53,500 per 10 gram, tracking firm global rates. In August 2020, gold had hit a record high of Rs 56,200 in Indian markets.
In global markets, spot gold price jumped was up 1.5% to $1,998.37 per ounce after hitting $2,000.69 earlier, the highest in 18 months. Inflows into gold-backed ETFs have seen strong inflows amid the Ukraine crisis. Holding of the world’s largest gold-backed exchange-traded fund, SPDR Gold Trust, rose 0.4% to 1,054.3 tonnes on Friday – their highest since mid-March 2021.
Silver futures on MCX today jumped 1.5% to Rs 70173 per kg. “Major risk aversion due to war supported safe-haven buying of precious metals. Despite strength in the dollar index gold price and silver gained last week. Global equity markets also plunged and investors are moving from riskier assets to safe haven assets.
Among other precious metals, palladium hit an all-time high on supply concerns from from top producer Russia, which accounts for 40% of all mined production of the metal that’s mostly used in catalytic converters in gasoline-powered vehicles. Spot palladium climbed as much as 5.3% to $3,169.46 an ounce.
Also Read: Petrol prices jump today, Check rates in your city
Also Read: Dinesh Kartik new captain for RCB in IPL 2022
Commodities may remain volatile as market players assess implication of Russia-Ukraine tensions on supply as well as global growth and central bank monetary policy stance, say analysts. With supply risks looming large, they say, the general bias for commodities, may remain higher unless there are clear efforts to de-escalate tensions.
Comments are closed.