Hyderabad: Gold rates in Hyderabad and other districts in India hit fresh record highs on Tuesday as investors turned to the precious metal amid growing global uncertainties and expectations of more rate cuts by the US Federal Reserve.
On Tuesday, MCX Gold December futures touched an all-time high of Rs 1,20,769 per 10 grams.
Reasons for the surge
In the international market, gold prices also surged to record highs as investors sought safe-haven assets due to rising economic and political tensions in the United States.
Expectations that the US Fed may cut interest rates further have added to the positive sentiment around gold and pushed prices in Hyderabad and across the world.
The ongoing US government shutdown has deepened worries about the country’s economic stability.
Gold rates in Hyderabad
In Hyderabad, the rates of the yellow metal reached Rs 1,22,020 and Rs 1,11,850 per 10 grams of 24-carat and 22-carat respectively.
Market analysts said traders are now watching key upcoming events, including the release of the Federal Open Market Committee (FOMC) meeting minutes, a speech by the Fed Chair, China’s market reopening after the holiday, and developments around the US shutdown.
“Gold prices rose to an all-time high, extending gains to a third session on US economic and political uncertainties and expectations of further interest rate cuts by the Federal Reserve,” experts said.
“The White House backed off President Donald Trump’s assertion that government employees were already being laid off due to the shutdown, but warned job losses could result as the standoff looked set to stretch into a seventh day,” market analysts added.
According to experts, the focus this week will be on FOMC meeting minutes, the Fed chair’s speech, China’s reopening after the holiday, and updates regarding the US shutdown.
With inputs from IANS
Source link
-
-
-
-
-
