Gold cross the limit of Rs. 28,000 in a single-day

New Delhi: For the first time, in the history of Indian economy, the rate of the gold reached to Rs. 28, 150 per 10 grams in the national capital. The rate increased by Rs. 1, 310 in a single day due to colossal demand in the global market.

The trading of gold is getting increased day by day in the overseas market because of its gigantic demand for the production of the ornaments & so on. Gold rose to an all-time high of USD 1,867.95 an ounce in London, with investors preferring to evade their funds along with melting global equity markets in the wake of worse-than-expected US economic data, coupled with growing concerns over Europe’s debt crisis.

In addition, retail buying for the upcoming marriage season further increased the market sentiment. Silver also jumped on rising demand from industries such as electroplating and other consuming units. All-India Sarafa (Bullion) Bazar Association President Sheel Chand Jain said the Rs 1,310 per 10 grams jump in gold prices in a single day was the biggest in the metal’s history, adding that a further rise is predictable as depositor buying picks up.

He said a steep fall in global equity markets and weakness of the Indian rupee against the US dollar left investors with no other possibility to park their funds than gold as a safe circumvent. The tendency at home was more influenced by the international price of gold, though dotted local buying for the coming marriage season was an additional factor further demand for the shiny metal, he said.

On the domestic front, gold of 99.9 per cent and 99.5 per cent purity spurted by Rs 1,310 each to Rs 28,150 and Rs 28,000 per ten grams, respectively. Sovereigns followed suit and heaved by Rs 1,100 to Rs 22,400 per piece of eight grams. In a similar fashion, silver ready surged by Rs 1,500 to Rs 62,800 per kg and weekly-based delivery by Rs 1,920 to Rs 62,690 per kg. Silver coins flickered up by Rs 1,000 to a fresh high of Rs 69,500 for buying and Rs 70,500 for selling of 100 pieces.

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