SRINAGAR: Gold prices rose sharply for the third consecutive session on Thursday, gaining Rs 3,800 per 10 grams to reach a seven-week high of Rs 1,53,800 in the national capital, supported by a weaker rupee and stronger international prices.
Gold of 99.9 per cent purity, inclusive of all taxes, had closed at Rs 1,50,000 per 10 grams on Wednesday. It was last quoted around this level on June 18, when it settled at Rs 1,53,440 per 10 grams.
Silver also recorded a strong gain, rising Rs 2,100 to Rs 2,34,800 per kilogram from Rs 2,32,700 in the previous session.
Market participants attributed the rise in domestic bullion prices partly to the depreciation of the rupee, which makes imported gold more expensive in India. Firm global prices, a weaker US dollar and lower US Treasury yields also supported demand for the precious metal.
The rupee fell 16 paise to close provisionally at Rs 95.24 against the US dollar on Thursday.
Gaurav Garg, Head of Research at Lemonn Markets Desk, said gold had extended its gains for a third consecutive session, helped by a weaker dollar, softer US Treasury yields and expectations of a diplomatic breakthrough in the West Asia conflict.
In international markets, spot gold rose to around USD 4,264.24 an ounce, while silver was quoted lower at USD 61.80 an ounce.
