On the Multi Commodity Exchange (MCX), gold futures for August delivery jumped by ₹1,952, or 1.34%, to ₹1.47 lakh per 10 grams. Silver futures for July delivery also climbed sharply by ₹4,096, or 1.76%, to ₹2.37 lakh per kilogram.
According to market analysts, traders created fresh positions in both precious metals amid strong spot demand and improving global sentiment.
Why are gold and silver prices rising?
The latest rally in bullion prices comes after weaker-than-expected US jobs data increased hopes that the US Federal Reserve could slow down further interest rate hikes.
Recent payroll data showed that only 57,000 jobs were added, significantly below market expectations of 110,000. The softer employment numbers reduced fears of aggressive monetary tightening and boosted investor interest in safe-haven assets such as gold and silver.
Globally, gold futures rose 1.19% to $4,171.27 per ounce in New York, while Comex silver futures surged 2.17% to $62.23 per ounce.
Prithviraj Kothari, Managing Director of RiddiSiddhi Bullions and President of the India Bullion and Jewellers Association, said both gold and silver have recorded their first weekly gains since May.
“Gold has gained nearly 2% this week, while silver has surged around 5%, supported by weaker US payroll data and easing concerns over inflation and rate hikes,” he said.
He added that central bank buying has also strengthened the market.
According to the World Gold Council, central banks globally added a net 41 tonnes of gold reserves in May, reflecting continued confidence in the precious metal.
What could happen next?
Market experts believe the current rally may continue if global economic uncertainty persists and interest rate expectations remain supportive.
Technically, gold has already touched the previously projected range of $4,100–4,165 per ounce, equivalent to around ₹1.45 lakh per 10 grams–₹1.47 lakh per 10 grams in the Indian market. Analysts now expect gold prices to move towards $4,250 per ounce, or nearly ₹1.50 lakh per 10 grams, if buying momentum continues.
Silver, which has outperformed gold in recent sessions, has already crossed the $60–62 range and could potentially move towards $65 per ounce, translating to nearly ₹2.45 lakh per kilogram in India.
