Mon Oct 14 06:40:57 UTC 2024: ## Gold Prices Soar in India, Driven by Inflation and Interest Rate Expectations

**Mumbai, October 14, 2024** – The price of gold in India continues to climb, hitting a high of Rs 76,629 per 10 grams for 24-carat gold on October 4. This represents a 0.84% increase over the past week and a 0.68% rise in the past ten days.

According to Jateen Trivedi, VP Research Analyst – Commodity and Currency at LKP Securities, the ongoing positive trend in gold prices is driven by several factors. These include:

* **US Data Supporting Interest Rate Cuts:** Recent US data, particularly high jobless claims and elevated crude oil prices, suggests persistent inflationary pressures. This has led to expectations of interest rate cuts, which would benefit gold as a safe-haven asset.

* **Strong Demand in India:** Diwali, the festival of lights, is just two weeks away. As is customary, people in North India are expected to increase their gold purchases during this festive period.

**Silver Also Sees Rise**

Silver also saw a surge in prices, currently trading at Rs 91,810 per kilogram. This is a significant jump from a week ago when the metal was priced at Rs 92,320 per kilogram.

**Regional Variations**

Gold prices varied slightly across different regions of India. In Kolkata, the 24-carat gold rate was Rs 76,190 per 10 grams on October 14. In Delhi, the price stood at Rs 76,160 per 10 grams. Chennai saw a rate of Rs 76,150 per 10 grams.

**MCX Futures Rise**

Gold and silver futures contracts on the Multi Commodity Exchange (MCX) also saw significant gains. The December 2024 gold futures contract was quoted at Rs 76,325 per 10 grams, while the December 2024 silver futures contract was trading at Rs 91,730 per kg.

**Positive Outlook for Gold**

Trivedi maintains a positive outlook for gold, stating that as long as prices remain above $2,580 in Comex, the trend is likely to continue.

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