Gold price today: Yellow metal climbs Rs 230; silver jumps Rs 700

Gold prices climbed Rs 230 to Rs 72,250 per 10 grams in the national capital on Monday amid a jump in precious metal rates in the international markets, according to HDFC Securities.

The yellow metal had settled at Rs 72,020 per 10 grams in the previous session.

Silver prices also jumped Rs 700 to Rs 84,300 per kg. It had closed at Rs 83,600 per kg in the previous close.

"Spot gold prices (24 carats) in the Delhi markets are trading at Rs 72,250 per 10 grams, up Rs 230, taking positive cues from the overseas markets," Saumil Gandhi, Senior Analyst of Commodities at HDFC Securities, said.

Globally, spot gold at Comex was trading at USD 2,312 per ounce, up USD 11 from the previous close.

Gold resumed trading on a positive note as Friday's weaker-than-expected US job market reports have boosted the odds of a September rate cut from the US Federal Reserve.

This turned negative for the US dollar and helped the gold price rebound above the USD 2,300 level, Gandhi said.

Silver was also quoting higher at USD 27.05 per ounce. In the previous session, it had ended at USD 26.55 per ounce.

Meanwhile, in the futures trade on the Multi Commodity Exchange (MCX), gold bounced Rs 657 to trade at Rs 71,325 per 10 grams. The most traded June contract hit an intra-day high of Rs 71,447 per 10 grams at 1840 hrs.

Further, silver contracts for July delivery were also trading higher by Rs 1,623 or 2 per cent to Rs 82,666 per kg on the bourse.

"Gold prices surged over Rs 500 in MCX to hit Rs 71,200 due to renewed conflict in the Middle East and weak US jobs data. This data increased expectations of an earlier US interest rate cut, which is positive for gold prices.

"The forecast is for gold to trade in a range of Rs 70,000 to 72,500 in the near future," Jateen Trivedi, VP Research Analyst of Commodity and Currency at LKP Securities, said.

According to Navneet Damani, Senior VP of Commodity Research at Motilal Oswal Financial Services, "Focus will be on Services Purchasing Managers Index (PMI) and Producer Price Index (PPI) from the EU will further provide more direction for the gold prices.

A broader trend on COMEX could be in the range of USD 2,275-2,330 level, Damani said.