New Delhi, October 19
Gold shot up to a 17-month high of Rs 10,000 per ten grams on the bullion market today on heavy seasonal demand amid funds getting diverted from crashing stock markets.
Earlier, the precious metal had traded at Rs 10,050 per ten gram on May 24, 2006, on the back of weakening dollar. The dollar-priced metal normally moves in opposite direction to the dollar.
Gold, which remained on a rising spree on hectic buying by jewellery fabricators and stockists to meet current festival and marriage season demand, gathered momentum as more funds poured in from weakening stock markets and rose by Rs 135.
The support was across the board as investors were left with no other option after the dollar fell to a record low, crude oil surged to record $90 a barrel and stock markets crashed in the last three straight trading sessions.
The precious metal’s rise in the global markets, which normally set the price trend in domestic markets, also remained a boosting factor. Gold in the US markets surged to $772, a 17-months high as the dollar hit a record low against euro.
— PTI
