HYDERABAD: The rally in gold prices continued in the international market for the third consecutive day and it went past the $2,100-per-ounce mark early on Monday. The rally also had an impact on domestic prices as the yellow metal breached the Rs 64,000/10 grams mark on MCX. Later in the day, however, there was a sharp correction and the price fell to below the $2,050 level.
In the local markets, goldwith 999 purity was being sold at around Rs 67,500/10gm which included taxes.This was a new all-time high price. Last week too, the yellow metal’s price had recorded new life-high marks.

Surendra Mehta, president, the Indian Bullion & Jewellers Association, said that the recent surge in gold prices in the international markets was on the back of news of a US warship and some commercial ships coming under attack in the Red Sea. “The market has made a huge high in just two months from $1,820 levels to nearly $2,150 so it needs a correction because it needs some news to rise again,” he said.
On the other hand, Avinash Gupta, former director, All India Gems & Jewellery Domestic Council, feels the surge was not substantiated by any fundamentals and was driven only by anticipation of the US Fed slashing interest rates much earlier than expected.