Gold price in India after having fallen in early trade (june 1, 2020) has again surged on the MCX to touch a high of Rs. 46,984 per 10 gm. Silver too in line has peaked to a high of Rs. 50,350 per kg. Silver is set to see heavy demand as ease in restrictions point to pick up in industrial demand.
International gold prices
In the international markets, gold prices continue to gain as investors remain worried due to spat in US cities which is over and above the already stress between Washington and China. Gold surged 0.77% to $1739 per ounce.
There has been protest after the coronavirus led lockdown in US cities as amid the pandemic millions have been thrown out of employment and minorities have been impacted the hardest.
There has come in weak economic data on the spending and trade front which lets estimates of economic output to drop by a heavy 51% annualised in the second quarter.
It is anticipated that some of the sectors may never return to pre-Covid times and this is to impact consumer sentiment
Outlook for gold prices
Gold prices are expected to remain choppy gaining support at one end from US-China tensions and the recent protest in US cities. Nonetheless, opening of economies worldwide is set to curb gains in the precious-yellow metal.