Due to the impact of the international market, the price of gold is touching new heights. The domestic futures market has seen a huge rise in the Gold Futures Price. Due to this, the price of gold on the Multiple Commodity Exchange (MCX) has reached a record level. On MCX, the gold futures price of October 2020 was up by 0.35 per cent to a record level of Rs 55,290 per 10 grams.
Furthermore, the silver futures price of September 2020 has also increased by one per cent to Rs 72,600 per kg. On Wednesday, the price of gold rose by one per cent i.e. Rs 580 per 10 grams to Rs 55,597. Silver also showed a rise of 3.2 per cent and the price of one kg silver rose by Rs 2250.
Gold shine increased in global market as well
Due to the weakening of the dollar, gold prices in the international market also saw a huge rise. On Wednesday, gold futures trended up 0.3 percent at $ 2055.90 an ounce on Comex. Meanwhile, the price of spot gold remained steady at $ 2039.75 an ounce. However, silver fell 0.4 per cent to $ 26.91 an ounce.
Know why gold prices are increasing?
The dollar index fell 0.2 percent due to pressure from the US Dollar. This is the biggest decline in the last two years. According to information in Public domain Kotak Securities said gold prices are rising due to the weakening of the dollar, the US-China trade war, uncertainty over the US virus relief package. similarly , the corona virus infection is increasing rather than decreasing. Due to this uncertainty in the stock markets, real estate is also affected. This round seems to be the safest gold for investors. Investors have moved towards gold, gold ETFs and bonds. This is the reason why gold rates are increasing.