Domestic bullion prices surged sharply on Monday, with silver touching a fresh all-time high and gold extending gains in early trading.
Silver futures for March delivery jumped ₹3,639 to reach a record ₹1,78,620 per kilogram on the MCX. The rally followed strong global cues, where international silver prices climbed to around $57.59 per ounce, supported by a weaker U.S. dollar.
Gold futures also moved higher. The February contract rose ₹879 or 0.68%, trading at ₹1,30,383 per 10 grams. Though global gold prices showed a mild dip in early Asian trade, overall sentiment remained positive amid expectations of a US Federal Reserve rate cut.
Analysts said the sharp rise in bullion was driven by three key factors, a softening dollar, anticipation of monetary easing by the Fed, and the decline of the Indian rupee, which makes imported precious metals more expensive.
Market experts expect silver to remain highly volatile in the near term, while gold may continue to find support from global economic uncertainty and currency fluctuations.
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