Gold soars Rs 1,650 to scale fresh peak of Rs 98,000 per 10 gm; silver jumps Rs 1,900

Gold prices soared by Rs 1,650 to hit an all-time high of Rs 98,100 per 10 grams in the national capital on Wednesday amid a global rush for safe-haven buying triggered by an escalated trade war between the US and China.

According to the All India Sarafa Association, the precious metal of 99.9 per cent purity had finished at Rs 96,450 per 10 grams on Tuesday.

Gold of 99.5 per cent purity also appreciated by Rs 1,650 to hit a fresh peak of Rs 97,650 per 10 grams against the previous close of Rs 96,000 per 10 grams.

Additionally, silver prices climbed by Rs 1,900 to Rs 99,400 per kg. The white metal had closed at Rs 97,500 per kg on Tuesday.

On the global front, spot gold rose to touch a record high of USD 3,318 per ounce. Later, it pared some gains to trade at USD 3,299.99 per ounce.

“Gold surged to a record high, driven by growing trade war concerns after the US government tightened export rules to China,” Kaynat Chainwala, AVP-Commodity Research, Kotak Securities, said.

President Donald Trump has announced an investigation into whether tariffs are needed on critical minerals, further fuelling market anxiety. On Wednesday, the US administration further raised tariffs on most goods from China to 245 per cent.

According to Abans Financial Services’ Chief Executive Officer Chintan Mehta, gold prices hit record highs as the US dollar index slipped below the 100-mark, nearing three-year lows.

He said the upswing in gold is fuelled by rising expectations of a potential interest rate cut, with markets closely watching US Federal Reserve Chair Jerome Powell’s speech to come later in the day.

“As the Federal Reserve navigates the twin challenge of supporting economic growth while managing tariff-driven inflation, the current macro environment continues to offer strong support for gold.

“Adding to the bullish momentum, major banks remain positive on gold’s outlook, citing continued inflows into gold-backed ETFs and sustained central bank buying,” Mehta said.

Spot silver in the Asian market hours rose nearly 2 per cent to USD 32.86 per ounce.