MUMBAI, OCTOBER 10 (PTI)
Sharp fall in global equity markets amid strong overseas advices and sustained festival buying, pushed up gold prices to breach the 14K-mark to reach a new peak of Rs 14,105 on the bullion market here today.
Safe-haven buying following steep drop in world equity markets was the main reason behind the rise in the yellow metal, a trader said.
Gold prices climbed two per cent to a 2-1/2 month high in Europe as tumbling stock markets prompted investors to seek safer assets such as bullion. Spot gold was quoted at USD 918.15/921.65 an ounce as against USD 911.50 an ounce late in New York on Thursday. Earlier it touched a session high of USD 931.00 an ounce, its strongest level since July 29.
Demand from larger investors for bullion-related products like gold-backed exchange traded funds, and from smaller buyers for investment coins and bars, remains strong, a dealer said.
Gold prices in Singapore rose to an over two-month high while U.S. Futures jumped nearly four per cent as investors scrambled for safety after heavy losses in share values.
Investors are worried over the deepening US credit crisis which is now percolating to other countries and they preferred to play safe by investing in gold rather than tumbling equity markets all over the world.
