Over the course of one week, prices for gold and silver demonstrated a remarkable increase. During this week, the price of 24-karat gold in various cities increased by 7960 rupees, while the cost of 22-karat gold rose by 7300 rupees.
On August 23rd, the price of 24-karat gold in the capital, Delhi, was 1,63,240 rupees per 10 grams, whereas in Mumbai today the price stands at 1,63,090 rupees for the same 10 grams. On the international market, futures gold is trading at $4600.91 per ounce.
Silver also showed growth during the week, increasing by approximately 10 thousand rupees per kilogram. On the morning of August 23rd, the price of silver was 2.60 lakh rupees per kilogram. On the global market, the spot silver price is $69.87 per ounce.
The rise in prices was also observed in the multi-commodity market. Over the week, gold rose by 7 thousand rupees per 10 grams, and silver by 8000 rupees. On MCX, gold is trading at 1.62 lakh rupees per 10 grams, and the cost of silver exceeds 2.46 lakh rupees.
Comparing current prices with historical highs, gold is currently available 31 thousand rupees cheaper than its record high of 1.93 lakh rupees, while silver has become 1.74 lakh rupees cheaper. The record high for silver on MCX reached 4.20 lakh rupees.
The main reason cited for the increase in gold and silver prices is a major decision made in the USA this week. The US Treasury Department decided to double the amount of buyback of long-term government bonds to stabilize the market, reduce pressure, and decrease the growing national debt.
Following this decision, the US dollar weakened, and the stock market experienced a decline, which was accompanied by a rise in the prices of gold and silver.