Gold Prices Rise Over ₹500 Per 10 Gram, Silver Surges About ₹1,000

New Delhi, June 11: Gold and silver prices on Thursday surged in the domestic market on global cues with August gold futures on MCX jumped about ₹550 per 10 gram to ₹47,157 per 10 gram.  The prices rose in July silver futures on MCX also soared around ₹950 to ₹49,014 per 10 gram. In May the bullion prices had hit a record high of about ₹48,000 per 10 gram, as per Mint. In Delhi the cost of 22-carat gold is about Rs 45,700 per 10 gram, in Chennai, the price is Rs 44,940 while in Mumbai it is Rs 44,950, according to Goodreturns.in. ALSO READ: Oil Companies Hike Fuel Prices For 5th Straight Day; Petrol To Cost Rs 74 Per Litre In Delhi, Check Prices In Other Cities Also, the third tranche of sovereign gold bonds, which opened for subscription on Monday, will expire on 12th June. The issue price for Sovereign Gold Bond has been fixed at ₹4,677 per gram of gold while you can avail a discount of ₹50 if you apply and make an online payment. Globally, gold prices rose to a one-week high as the US Federal Reserve estimate on GDP supported demand for the precious metal According to Fed, the US economy will shrink 6.5 per cent this year, in line with other forecasts, before expanding 5 per cent in 2021. Spot gold was down 0.2 per cent at $1,732.56 per ounce, after hitting its highest level since June 2 earlier in the session.  Gold rates in global markets witnessed a spiked over 1 per cent immediately after the Fed announcement. Among other precious metals, silver declined 1.7 per cent to $17.95, while platinum rose 0.5 per cent to $836.38. The holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, witnessed a rise of 0.4 per cent to 1,129.50 tonnes. Federal Reserve Chairman Jerome Powell said the central bank will keep pumping stimulus into the US economy until its job market recovers from the impact of the coronavirus pandemic. “We are strongly committed to using our tools to do whatever we can for as long as it takes," Powell said. Stimulus measures and lower interest rates tend to support gold, which is often considered a hedge against inflation and currency debasement. The yellow metal is seen as a safe-haven asset in times of political and economic upheaval. Experts opine that the impact of the coronavirus crisis and central bank’s policy easing measures may support gold’s haven appeal. However, lifting lockdown restrictions on the rise in the equity market may hinder major rallies in the counter.