NEW DELHI: Gold and silver saw profit booking in the morning session on Thursday but fast rising coronavirus cases kept the losses in check. Optimism over a potential vaccine and better than expected economic readings lifted investors’ appetite for riskier assets.
A Covid-19 vaccine developed by German biotech firm BioNTech and US pharmaceutical giant Pfizer has shown potential and was found to be well tolerated in early-stage human trials.
Meanwhile, the total number of Covid-19 patients in India reached over 6 lakh while fatalities climbed above 17,800 levels.
Gold futures were down 0.14 per cent or Rs 68 at Rs 48,199 per 10 grams. Silver futures dipped 0.21 per cent or Rs 106 to Rs 49,318 per kg.
Gold in the national capital zoomed Rs 647 to Rs 49,908 per 10 grams on Wednesday in line with gains in the international prices of the precious metal, according to HDFC Securities. Silver also jumped Rs 1,611 to Rs 51,870 per kg.
Retail gold prices in Mumbai breached the Rs 50,000-per-10gm mark on Wednesday. This is the first time the price of the precious metal, with which Indians associate sentimentally, crossed the psychologically important level.
Globally, gold prices slipped easing from a near eight-year high hit in the previous session, as strong US data and hopes for a potential Covid-19 vaccine dented safe-haven sentiment.
Spot gold fell 0.2 per cent to $1,767.11 per ounce by 0034 GMT, after touching $1,788.96 on Wednesday — its highest since October 2012. US gold futures fell 0.2 per cent to $1,777.30.
Meanwhile, The U.S. House of Representatives passed legislation on Wednesday that would penalise banks doing business with Chinese officials who implement a national security law.
Hong Kong police fired water cannon and tear gas and arrested more than 300 people on Wednesday as protesters took to the streets in defiance of sweeping security legislation introduced by China to snuff out dissent.
Palladium gained 0.3 per cent to $1,909.70 per ounce, while platinum fell 0.2 per cent to $813.94 and silver rose 0.2 per cent to $17.97.