Gold future shares maturing in the month of June have gone up by 0.69 percent or Rs 331 and stand at Rs 47,989 per 10 grams on the Multi Commodity Exchange (MCX). Whereas with a gain of 1.27 percent or Rs 905, the rate of silver future shares maturing on July 5 stands at 71,900 per kg.
With an increase of 0.02 percent, the spot price of gold in India stands at Rs 46,080 today. However, the growth rate of Indian spot gold remains lower than the global growth rate of 0.51 percent. The global spot price of gold stands at $1852.6. The silver spot price at the New York COMEX stands at $27.42 per ounce.
Spot gold was up 0.6 percent at $1,852.39 per ounce by 0318 GMT, after hitting its highest since February 10 earlier in the session. Gold futures in the United States jumped 0.7% to $1,851.10.
Gold and silver prices in the international market
According to a Reuters report, gold prices rose on Monday to their highest level in more than three months, because of a dip in U.S. Treasury yields and worries over surging COVID-19 cases in some Asian countries boosted demand for the safe-haven metal.
The rising number of coronavirus infections has hit the precious metals market in India. A lockdown or a curfew has been imposed in major states and people have become more cautious, due to which the demand for physical gold and silver fell in India.
Prices of both gold and silver in India are determined by keeping international prices as the basis. Other than that, various factors such as the value of the rupee against the dollar and global demand play a key role in determining the trends observed in the rate of precious metals.
Globally, it has been observed that silver has remained cheaper than gold and that is because of the simple demand-supply rule. The rare availability of silver and the imbalance between the supply and demand of gold and silver make up for most of the difference between their rates.