Gold jumps Rs 350 to Rs 79 200 per 10 gm silver surges Rs 900

New Delhi, Dec 27 (PTI) Gold prices jumped Rs 350 to Rs 79,200 per 10 grams in the national capital on Friday on the back of continued buying by jewellers and depreciation in the rupee, according to All India Sarafa Association.
    Traders said the safe-haven asset is also strengthened by escalating geopolitical tensions stemming from the ongoing Russia-Ukraine war and tensions in the Middle East.
    The yellow metal on Thursday settled at Rs 78,850 per 10 grams.
    Rallying for the fourth straight session, silver also surged Rs 900 to Rs 91,700 per kg. During the holiday-shortened week, the white metal soared Rs 3,550 per kg in the past four sessions.
    The price of gold of 99.5 per cent purity increased Rs 350 to Rs 78,800 per 10 grams from the previous close of Rs 78,450 per 10 grams on Thursday.
    Traders highlighted that weakness in the rupee boosted demand for safe-haven assets such as gold.
    The rupee fell steepest in almost two years to hit its lifetime intraday low of 85.80 before a suspected central bank intervention helped recover some of its losses and settled 23 paise lower at a record low of 85.50 (provisional) against the US dollar on Friday due to a strong greenback amid increased month-end demand from banks and importers.
    In futures trade on the Multi Commodity Exchange (MCX) on Friday, gold contracts for February delivery dipped Rs 56 or 0.07 per cent to Rs 76,771 per 10 grams.
    Silver contracts for March delivery decreased Rs 27 or 0.03 per cent to Rs 89,609 per kg in futures trade on the commodities bourse.
    Comex gold futures fell USD 13.70 per ounce or 0.52 per cent in the Asian trading session to USD 2,640.20 per ounce.
    Globally, gold prices edged lower amid thin trading following the Christmas holiday on Friday as markets are preparing for major policy shifts, including tariffs, deregulation and tax changes, in 2025 as Donald Trump returns to the White House in January, Manav Modi, Analyst, Commodity Research at Motilal Oswal Financial Services Ltd, said.
    According to Saish Sandeep Sawant Dessai, Analyst, Angel One, the US Federal (Fed) Reserve aggressively cut interest rates in September, November, and December and has signalled fewer cuts in 2025 due to stubbornly high inflation.
    Higher rates increase the opportunity cost of holding non-yielding bullion.
    Comex silver futures went lower by 0.74 per cent to USD 30.17 per ounce in the global markets.

(This story has not been edited by THE WEEK and is auto-generated from PTI)