At 11:51 am, MCX gold futures traded up 1.20% at Rs 41,895 per 10 grams
Gold Rate Today: Gold prices continued to rise for a third straight session on Monday as global equity markets re-assessed the severity of the coronavirus outbreak and its impact on world economy. MCX gold futures rose by as much as Rs 593 per 10 grams - or 1.43 per cent - from their previous close to touch Rs 41,990 per 10 grams before giving up some of those gains in late-morning deals. At 11:51 am, the gold futures contract (delivery on April 3) traded 1.20 per cent (Rs 498 per 10 grams) higher at Rs 41,895.00 per 10 grams, compared with its previous close of Rs 41,397 per 10 grams. Analysts said the fear of coronavirus outbreak spreading beyond China and hurting world economy increased the yellow metal's appeal as a safe haven.
According to Mumbai-based industry body IBJA or India Bullion and Jewellers Association, the indicative selling price of gold jewellery stood at Rs 42,020 per 10 grams (excluding GST) in the morning session.
Gold jewellery prices vary in different parts of India - the second largest consumer of the precious metal - due to factors such as excise duty, state taxes and making charges.
#IBJA's indicative #Retail selling #Rates for #Gold#Jewellery
IBJA (@IBJA1919) March 2, 2020
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What Analysts Say On Current Gold Rate
Analysts say gold rates may witness some volatility in the near term as investors assess the impact of the coronavirus pandemic on consumer demand.
“COMEX gold has gained over 2 per cent to trade near $1,600/oz... Gold has benefitted from increased expectations of monetary stimulus by major central banks including the Federal Reserve. Disappointing Chinese manufacturing PMI data and increased spread of coronavirus outside of China has also increased safe haven demand," said Ravindra Rao, VP-head commodity research at Kotak Securities.
"The sharp volatility in last few sessions is likely to continue however we still maintain buy on dips view as global economic outlook will continue to worsen unless the outbreak is controlled,” Mr Rao added.
