Gold touches 11-week high of Rs 13,725

deepak pace

Gold prices surged to 11-week high levels by gaining Rs 260 to Rs 13,725 per 10 gram in the national capital on Monday on hectic buying by stockists in line with a firming global trend.
A similar firmness was noticed in silver that surged by Rs 400 to Rs 17,850 per kg on rising demand from industrial units.
The gold, which normally moves in tandem with the firm overseas trend, attracted buyers as it rose 2.4 per cent to $890.49 an ounce in Asia after Israel called up reservists following two days of air attacks against the Hamas-led Gaza strip.
Marketmen said stockists were enlarging their positions on expectations that the prices might surge as mounting tension would spur demand for gold as a safe hedge during such a crisis.
They said the precious metal is slowly moving closer to the record levels as volatile equities, weak dollar and rising crude left no other option to park funds in the gold.

The precious metal, which gained Rs 285 in the previous trading session, spurted to reach closer to a record of Rs 14,000 per 10 gram on October 10, in line with a firm trend in Asia as mounting geopolitical tensions in the Middle East boosted the appeal of the precious metal as a haven.

Silver ready surged by Rs 400 at Rs 17,850 per kg and weekly-based delivery by Rs 500 at Rs 17,920 per kg. Silver coins remained at the same level at Rs 27,000 for buying and Rs 27,100 for selling of 100 pieces.
Standard gold and ornaments shot up by Rs 260 each to Rs 13,725 and Rs 13,575 per 10 gram, respectively. Sovereign remained unchanged at Rs 10,700 per piece of eight gram.