Gold price hits record high, may cross Rs 70,000 mark soon

The price of gold has skyrocketed to reach its lifetime high with around Rs 5000 spike in the last 10 days. The cost of 22-carat gold per 10 grams reached Rs 55400 on Sunday in Bhubaneswar which was Rs 50500 on March 9.

Similarly, the price of 24-carat gold per 10 grams has reached Rs 61400 in Bhubaneswar which was Rs 57620 last week. 

Meanwhile, such an unexpected price rise of the yellow metal has raised concerns among buyers. Consumers have started avoiding purchasing the precious metal for themselves as well as for presenting it to relatives in marriages. 

“We are in panic after learning about the price rise of gold. The soaring price has restricted us from buying the precious metal for ourselves and gift purposes for marriages,” said Kamini Pradhan, a resident of Bhubaneswar.

Expressing concern over the matter, market experts have attributed American and European banking crises as the reason behind the soaring gold price.

“The investors have lost faith in the stocks after the banking crisis in America to Europe. Now they are withdrawing their investments from the capital market, investing in gold for which the price is increasing,” said Trinath Lenka, a market expert. 

The market expert also predicts that gold prices will keep surging until the banking crisis normalises. 

Meanwhile, jewellers believe that the price of the yellow metal may soon reach Rs 70000 if the trend continues.

“Be it commodity market or gold experts, they are predicting that the price will reach Rs 70000. The price increased by Rs 4000 within a week and it is unpredictable. We will know about the new price on Monday. Currently, the customers who can purchase 10 grams are purchasing 5 grams.” said Pramod Rath, Business Head, J&T Gems & Jewellery.

Not just gold, the silver price has also followed the trend. In the last week, the price of silver has increased by Rs 5000 per kilogram. While the price of silver per kilogram was Rs 65000 on March 12, it has reached Rs 70000 today.

Reported by Kapilendra Pradhan