Gold Rate Today: Gold prices at 3-month high - Should you buy?

Gold Rate Today: Gold prices in the international market on Thursday, December 1, hit a three-month high amid strong global trends. Gold was trading higher at USD 1,778.6 per ounce while silver was up at USD 22.25 per ounce to trade at seventh-month high.

On the Multi Commodity Exchange, Gold February Future quoted over Rs 53,300, rising more than Rs 350 per 10 gram. Similarly, Silver rallied Rs 1,447 to Rs 65,003 per kilogram.

Gold and silver price posted one of their biggest monthly gains after US Federal Reserve Chair Jerome Powell's speech reinforced expectations of smaller interest rate hikes ahead.

According to Prithviraj Kothari, President of IBJA, it is very unlikely that gold will break the record high.  

Vandana Bharti of SMC Global gives tagged a buy call with a price target of Rs 53,700 and a stop loss of 53,250. She emphasised that any correction will be only after this surge. 

"Dollar index continues to fall and is moving towards 104. If this happens, the gold price will definitely hit Rs 53,700," she added.

Meanwhile, benchmark indices rallied in early trade on Thursday tracking firm global market trends and continuous foreign fund inflows. Buying in IT counters also added to the momentum.

After a firm beginning, the 30-share BSE Sensex further rallied 483.42 points to 63,583.07, its lifetime intra-day peak in early trade.
The broader NSE Nifty climbed 129.25 points to 18,887.60.

Among the Sensex pack, Tech Mahindra, Infosys, HCL Technologies, Wipro, Tata Consultancy Services, HDFC Bank, Larsen & Toubro and HDFC were the major winners.

Hindustan Unilever, Asian Paints, Mahindra & Mahindra and NTPC were among the laggards