Gold zooms 30k, silver spurt on Brexit

Britain’s exit from the European Union (EU) triggered a sharp rally in domestic gold prices as the sparkler reclaimed 30K-level, its highest in two-years, zooming Rs 1,225 per 10 grams at the bullion market here on Friday.

The Brexit referendum unanimously decided Britian leaving the EU triggered global markets collapse and investors racing for safe-haven assets.

A sharp fall in the rupee against the dollar which tumbled to a four-month low of 67.96 also weighed on trade. Silver surged by Rs 1,575 a kg on higher speculative and industrial offtake. Standard gold (99.5 purity) zoomed by Rs 1,225 to close at Rs 30,755 per 10 grams from Thursday’s closing level of Rs 29,530. Pure gold (99.9 purity) also rose by a similar margin to conclude at Rs 30,905 per 10 grams from Rs 29,680. Silver (.999 fineness) surged by Rs 1,575 to end Rs 42,930 a kg as against Rs 41,355 on Thursday. Globally, gold soared as much as 8% to its highest level in more than two years after Britaindelivered a shock vote to leave the EU, leaving investors to scurry for protection in precious metal and other assets perceived as less risky. Spot gold peaked at $1,358.20 an ounce and was up 4.5% at $1,313 an ounce at early trade, while the US gold futures for August delivery were up $54.80 an ounce at $1,317.50, off an early high of $1,362.60 an ounce.—PTI

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