Gold hits to another record at Rs17,300 per 10 gm

17 Nov 2009

Gold prices crossed the Rs17,000-mark for the first time, touching Rs17,035 per ten gm in early trading on the Mumbai market today. Gold has gained over Rs1,000 per 10 gram in just about eight trading sessions.

In Delhi, the precious metal today hit an all-time high of Rs17,300 per 10 gm, as jewellers bought stock for the ongoing marriage season amid firming global trend.

Domestic gold was supported by firm prices on the NYMEX where prices rose to as much as $1,144.20 an ounce.

The spike in gold prices has also been helped by India's buying of 200 tonnes of gold from the International Monetary Fund (IMF), early this month.

India's move caused a stir in the bullion market and gold prices soared to $1130 per ounce in the markets on Monday.

Some analysts now expect that the yellow metal will cross $2,000 per ounce in the coming months.

The current spike has also been due to rising stockist demand for meeting seasonal jewellery demand. Jewellery makers resorted to heavy buying to enlarge stocks.

Silver also gained from gold's strength, gaining Rs1,000 at Rs28,350 per kg. Silver coins added Rs400 at Rs33,900 for buying and Rs34,000 for selling of 100 pieces.