Gold has again set a new record with its price reaching a high of Rs. 31,035 for 10 grams. This price is an all time high for the precious metal.
The rise in the prices are attributed to the global surge in the commodity prices, with an anticipation of a stimulus by the United States of America for reviving the economy.
Gold spot market in Delhi saw the prices shooting up by Rs 290, taking the cost of ten grams of gold to Rs 31,035.
Sovereign Gold also rose by Rs 100 to trade at Rs 24,650 per piece of eight gram.
The hike in prices is also attributed to the upcoming wedding season. Stockists and jewellers have been believed to accumulate the metal in anticipation of the huge demand during the wedding season.
A weak dollar index against the other global currencies has also helped gold prices surge, as gold is considered to be alternative asset.
Gold Price in other cities
Mumbai witnessed an increase of Rs.135 in the gold price costing 10 gms at Rs 30,515, while in Kolkata the rates saw an increase of Rs 235 to make the metal trade at Rs 30,960. Chennai witnessed gold gaining by Rs 270, as the price of 10 grams went upto Rs 30,685.
Gold ETFs rise
Gold ETFs saw a rise in the prices, as the metal price witnessed a surge in the commodity market.
he Goldman Sachs Gold Exchange Traded Scheme (GOLDBEES) shot up by 0.83% at 2,913.00.
Kotak Gold (KOTAKGOLD) was up by Rs. 22 or 0.8% at 2900. Reliance Gold ETF (RELGOLD) also shot up by 0.6%.
Should you buy Gold ?
Analysts are expecting a further increase in the price of the Gold. A shoot up in the crude oil prices will be pushing the gold prices up.
“Looking at the current scenario, of Euro crisis, US not doing too well, crude oil prices expected to rise, also rumours of quantitative easing (QE3) in the US, we expect to see a very good rally in gold in the near future,” said Nitin Nachnani, Research Analyst at Geojit Comtrade.