Hyderabad: Gold rates in Hyderabad once again surged on Friday, June 13, to hit an all-time high due to the weakening rupee and escalating tensions in the Middle East.
The price of 10 grams of 24-carat gold reached Rs 10,1400.
On the Multi Commodity Exchange (MCX), the most-traded August delivery contracts of the precious metal zoomed by Rs 2,011, or 2.04 percent, to hit a record high of Rs 1,00,403 per 10 grams in the morning trade.
What analysts say
Analysts said the sharp rally in gold prices was primarily driven by a weaker rupee and heightened geopolitical tensions in the Middle East, which spurred safe-haven demand for the precious metal.
On Friday, the rupee declined by 56 paise to 86.08 against the US dollar in the initial trade due to a spike in global oil prices and a firm dollar amid rising tensions in the Middle East following Israel’s attack on Iran’s nuclear sites.
On the global front, gold futures rose by USD 41.62 per ounce, or 1.22 percent, to trade at USD 3,444.02 per ounce.
“Gold prices rallied sharply amid escalating Israel-Iran tensions, boosting safe-haven demand. In the morning session, the precious metal breached the USD 3,420 per ounce mark and hit six-week highs,” said Rahul Kalantri, Vice-President of Commodities at Mehta Equities.
Gold rates in Hyderabad
The current gold rates in the city are Rs 1,01,400 and Rs 92,950 per 10 grams of 22-carat and 24-carat yellow metal, respectively.
On January 1, the rates were Rs 71,500 and Rs 78,000 per 10 grams of 22-carat and 24-carat yellow metal. This translates to a surge of over 41 percent this year.
In view of the uncertainty and geopolitical tensions, people are shifting their investments toward gold, resulting in a surge in the rates of the yellow metal in Hyderabad and other cities.
