Speculators rebuilt their portfolio with gold after it zoomed in international markets. Gold crossed the level of $1700 an ounce in today's trade.
India's benchmark gold futures for October delivery on the Multi Commodity Exchange extended gains by more than 3% on Tuesday morning and hit a new peak of Rs 26,198 per 10 grams.
At MCX, gold for October delivery was trading in the range of Rs 25,840 – Rs 25,850 per 10 grams around 2:30 pm IST.
Gold for far-month delivery, February futures opened at Rs 26,500 and made an intra-day high to Rs 26,942. It was trading in the range of Rs 26,767 – Rs 26,818 per 10 grams same time.
Gold for immediate delivery was seen trading at Rs 25,426 per 10 grams.
Experts say that the yellow metal might even touch Rs 27000 – level by Diwali this year.
Prices are also moving up due to festive season.