Gold and Silver Prices in India: A Review of Current Rates Across Major Cities

Gold Prices Trade Higher Amid Escalating Iran War Tensions

Precious metal prices surged in early June trade amid escalating tensions between the US and Iran, which has kept oil prices elevated. The international spot gold traded 0.19 percent lower to $4,511.20 per ounce, while silver edged 0.21 percent down to $75.16 per ounce over the last 24 hours in early Comex trade.

In India, the domestic MCX spot price closed the Tuesday's session at Rs 1,56,113 per 10 grams. The gold futures for the August contract on MCX traded 0.04 percent lower to Rs 1,59,290 per 10 grams, and silver futures for the July contract dropped 0.16 percent to Rs 2,66,284 per kilogram (09:20 IST).

Traders continue to monitor developments around the US-Iran situation, along with key US economic data, for further direction in gold prices. The gold market is also being influenced by rupee weakness, which is supporting gains in the domestic bullion market.

Read also: Gold and Silver Prices Decline Amid Strengthening Dollar and Inflation Concerns

According to market analysts, gold prices vary as per purity. Here's a comparison of the price of 10 grams of 24-karat, 22-karat, and 18-karat gold:

The Augmont Bullion report (June 2) noted that gold and silver have recovered from their recent lows as investors adopted a wait-and-see stance ahead of Middle East peace talks. Investors are awaiting the U.S. nonfarm payroll and employment reports, both due later this week, to gauge labor-market strength amid growing inflation concerns tied to the Middle East conflict. Markets now expect the U.S. central bank to raise its benchmark interest rate next, a reversal from the rate-cut expectations that prevailed before the war in Iran began.