Gold prices surge over ₹1,000 in a day, hit record highs

Jeannie Matthews
August 11, 2019

Gold surged surged ₹1,113 to hit an all-time high of ₹37,920 per 10 gram as trade tensions between the U.S. and China boosted the safe-haven appeal of precious metal.

The spot price of gold passed the $1,500 benchmark on August 7-for the first time since 2013-suggesting the industry is seeing a second gold rush.

Futures traded at US$1,505.70 an ounce at 7:37 a.m.in NY, gaining for a fourth day.

SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings rose 0.21% to 836.92 tonnes on Tuesday from 835.16 tonnes on Monday.

Gold has been one of the chief beneficiaries of the turmoil in global financial markets as Washington and Beijing spar over trade. In recent days, the Trump administration threatened fresh tariffs against Chinese goods, the yuan was allowed to sink, and the USA branded China as a currency manipulator. Among other precious metals, silver inched up 0.2% to $16.42 an ounce and palladium jumped 1.9% to $1,441.55.

Galaxy Note 10 features I’m jealous of, as an iPhone user
Using the DepthVision camera on Galaxy Note 10 +, you can scan an object and create its 3D rendering in nearly real-time. And they will now have an app on Galaxy devices to offer users a way to support causes they care about.

Antonio Brown threatening to sit out if he can't wear banned helmet
Brown is resisting the trade and has now reportedly given the Raiders an ultimatum: "let me wear my old helmet or I won't play". He was told the helmet was not allowed, and once again, he acquiesced and wore the new model.

Trump sides with Kim criticism of US-SKorea war games
The drills were a "flagrant violation" of the diplomatic process between Pyongyang , Washington and Seoul, Kim´s government said. Esper's visit also comes as the U.S.is calling on Seoul to pay more for the upkeep of the 28,500-strong U.S.

The escalating trade tensions between the United States and China have led to stronger demand for safe haven assets, such as gold. Prices of silver also rose by Rs 650 to Rs 43,670 per kilogram. On MCX, October gold futures surged to a new high of ₹37,848 while silver contracts shot up to ₹43,260.

Overall, the price of gold has climbed more than 18% since the beginning of the year.

Lower U.S. interest rates put pressure on the dollar and bond yields, increasing the appeal of non-yielding bullion.

Further highlighting concerns that policymakers have about the global economy, New Zealand's central bank cut interest rates more than expected. Speaking to the media, DailyFx's currency analyst Ilya Spivak cautioned, "Trade wars are the catalyst for the latest gains".

Kudlow, director of the White House National Economic Council, said on Tuesday the Trump administration wants to continue trade talks with China and is still planning to host a Chinese delegation for talks in September. In Europe, investors are tracking the chances of a no-deal Brexit later this year, while there are tensions in the Middle East between Iran and the US.

Other reports by

Discuss This Article

FOLLOW OUR NEWSPAPER