Gold crosses Rs 74,000/10gm in local markets amid West Asia turmoil

HYDERABAD: Tit for tat strikes in West Asia sent gold prices surging to near record highs of $2,418/ounce in international markets (Comex Spot) on Friday, catapulting 24K gold prices in local markets to new lifetime highs of over Rs 74,000/10gm excluding GST. Spot prices of 24K gold in Delhi markets were quoting at Rs 74,100 during the day and were reigning higher at Rs 74,200 in Mumbai and Hyderabad markets.

However, prices on MCX for (June futures) remained at Rs 72,898, much below its all-time high levels of Rs 73,958 recorded on April 12, 2024, when international spot prices hit an all-time high of $2,432 after Iran's retaliatory strike against Israel.

"Reports that Israel had struck targets in Iran raised the risk of a wider regional conflict pushing gold higher and higher. In the domestic market, prices surged to a new record high. Delays in the probable timing of a Federal Reserve pivot have been largely ignored by gold, which has continued to rise in response to escalating geopolitical risks," said Saumil Gandhi of HDFC Securities.

"We believe geopolitical uncertainty is likely to keep an upside bias in gold for the short term. Comex Spot Gold has support at $2,365-2340," Gandhi added.