8 Apr : Gold prices in spot markets across the country soared on Wednesday amid reports that the metal would soon regain the psychologically important USD 1,000 an ounce in overseas market and volatility in stock markets.
Prices in the Delhi bullion gained an impressive Rs 315 to close at Rs 14,735 per 10 gram today, while in Mumbai it shot up by Rs 151 per 10 grams to Rs 14,421. In Kolkata it was up by Rs 265 at Rs 14,715.
Global metal consultancy GFMS in a study yesterday said that gold prices are expected to rise by over 25 per cent to touch 1,100 dollars an ounce after summer as sustained concern over global economy will prompt investors to shift to the safe-haven status of the precious metal.
Commodity experts also said gold prices may rebound to Rs 13,000-level in the domestic markets by June if rupee remains resilient against the US currency.
Dollar denominated gold gets cheaper when the local currency gains against the greenback.The domestic currency has been ruling in the range of 50-mark against the dollar after falling to sub-52 level in March.
"Gold prices have started falling from the record highs in February. The bearish trend is expected to continue, pulling prices further down to Rs 13,000 per 10 gram by June-end," brokerage firm Karvy Comtrade Harish G told the news agency.
Bombay Bullion Association President Suresh Hundia expressed similar views, "Prices may decline to Rs 13,500 per 10 gram by April-end. If rupee remains stronger against the US dollar, then gold rates may fall up to Rs 13,000 per 10 gram by June."
However, marketmen said gold prices today moved up as some investors shifted their funds from volatile stock markets to bullion as safe haven.The stock markets moved up and down in the range of nearly three per cent today.
The gold in London gained 7.91 dollar, or 0.9 per cent, to 889.15 dollar an ounce against 876 dollar in the previous session.