Gold rate today: Gold prices on Tuesday climbed Rs 500 to touch a record Rs 1.20 lakh per 10 grams in the national capital as a weaker dollar and expectations of further rate cuts by the US Federal Reserve supported bullion demand.According to the All India Sarafa Association, the yellow metal had surged Rs 1,500 on Monday to close at Rs 1,19,500 per 10 grams, PTI reported. Gold of 99.5 per cent purity extended gains for the fourth consecutive session, rising Rs 500 to Rs 1,19,400 per 10 grams (inclusive of all taxes), up from Rs 1,18,900 per 10 grams in the previous session.“Gold prices surged as investors turned jittery amid looming prospects of a US government shutdown after talks between President Trump and congressional leaders ended without agreement on short-term funding. This unsettled investors as it could delay the release of the official jobs report and complicate the Federal Reserve’s policy trajectory,” said Kaynat Chainwala, AVP Commodity Research, Kotak Securities, PTI quoted him as saying.Silver prices also gained Rs 500 to hit a fresh peak of Rs 1,50,500 per kilogram (inclusive of all taxes) on Tuesday. The white metal had jumped Rs 7,000 on Monday to Rs 1,50,000 per kg.The dollar index, which measures the strength of the greenback against a basket of six currencies, was trading lower at 97.80, down 0.10 per cent, lending further support to domestic bullion prices.In global markets, bullion prices retreated from record highs as investors booked profits. Spot gold declined 0.55 per cent to $3,813.14 per ounce after hitting an intraday high of $3,871.72 per ounce. Spot silver fell 1.51 per cent to $46.22 per ounce.“The yellow metal hit a fresh record of $3,871 per ounce and is currently trading lower at $3,818 as traders booked profits on elevated levels,” said Praveen Singh, Head of Commodities and Currencies, Mirae Asset ShareKhan.Analysts noted that ongoing safe-haven demand, a weaker dollar, and expectations of US rate cuts continue to drive bullish momentum in domestic gold and silver markets.
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