Gold prices saw a sharp rise on Friday, reaching an all-time high of Rs 77,641 per 10 grams in the domestic futures market. The surge was driven by favorable global trends and strong demand from local spot markets. MCX Gold for December 5 expiry was trading 0.62% higher at ₹77,587 per 10 grams around 9:40 a.m.
Positive global cues bolstered sentiment in the domestic market. Internationally, gold prices have surged over 1% this month, trading near record highs on Friday due to uncertainty surrounding the outcome of the US 2024 election, escalating tensions in West Asia, and expectations of further monetary easing. On Thursday, spot gold reached a record high of $2,696.59.
The dovish stance of the US Federal Reserve, along with other major central banks like the European Central Bank (ECB), has been a major driver of the recent surge in gold prices. Adding to this momentum are rising tensions in West Asia and uncertainty surrounding the US 2024 presidential election, which have further heightened investor interest in gold. Media reports suggest that the election is shaping up to be a close contest between former President Donald Trump and current Vice President Kamala Harris.