Gold price today: The prices of gold and silver jumped to new all-time highs on the MCX on Friday, October 17, following positive global cues. A weaker dollar and strong spot demand also supported gold prices. MCX Gold December futures jumped over ₹ 1,800, or 1.4 percent, to hit a record high of ₹ 1,31,699 per 10 grams. MCX Silver December futures hit a record high of ₹168950 per kg, up nearly ₹1300, or 1 percent. In international markets, gold prices looked poised for their best weekly performance since 2008 as rising trade tensions between the US and China and expectations of further US Fed rate cuts fueled a rally in gold. The dollar’s weakness is a key factor behind the rise of the yellow metal. The dollar index fell 0.20 percent, making gold cheaper in overseas currencies, potentially boosting demand. The domestic market is seeing strong demand for gold. Ajoy Chawla, the CEO of Titan’s jewelery division, Tanishq, told the media that people are rushing to buy gold, and think that gold prices will rise further. Usually, record high prices create demand fatigue, but the current trends indicate a fear of missing out (FOMO) trend. Local spot gold prices have risen more than 65 percent so far this year on heightened political and economic uncertainties, strong central bank purchases, hopes of a U.S. Fed rate cut and strong inflows into ETFs. “The precious metal’s rally is being driven by growing political and economic uncertainties, expectations of further US interest rate cuts, as well as strong central bank purchases and ETF inflows,” said Renisha Chainani, the head of research at Augmont. “Near-term, some profit booking seems likely as valuations stretch. If you already have significant exposure, consider partial profit booking to lock in profits. But for new allocations, a better approach is to buy on dips rather than chasing the peak,” Chainani said. (This is a developing story. Please check back for new updates.) Read all market related news here Read more stories by Nishant Kumar Disclaimer: This story is for educational purposes only. The opinions and recommendations expressed are those of individual analysts or brokerage firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
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