Gold prices trade flat as traders wait on sidelines

NEW DELHI: NEW DELHI: Gold and silver were trading close to the flatline as cautious traders waited on the sidelines before taking any bets amid hopes of swift recovery in economic conditions, however, fast rising coronavirus cases are keeping them in check.

India has reported 7.7 lakh cases of coronavirus till now, the third highest in the world, with over 21,000 deaths. Global coronavirus cases reached more than 12 million on Wednesday, with more than half a million dead.

Gold futures were down 0.04 per cent or Rs 21 at Rs 49,138 per 10 grams. Silver futures gained 0.11 per cent or Rs 57 to Rs 51,439 per kg.



Gold in the national capital on Wednesday rallied Rs 723 to Rs 49,898 per 10 gram reflecting gains in the international prices of the precious metal and rupee depreciation, according to HDFC Securities. Silver, however, declined Rs 104 to Rs 50,416 per kg.

Globally, gold held steady above the key $1,800/oz level on Thursday, as worries over mounting coronavirus cases offset hopes of a swift global economic recovery.

Spot gold was little changed at $1,808.44 per ounce by 0243 GMT, after rising to its highest level since September 2011 at $1,817.71 on Wednesday. U.S. gold futures were flat at $1,819.80.

Meanwhile, Britain's finance minister promised an additional $38 billion to head off an unemployment crisis. Stimulus tends to boost gold, which is viewed as a hedge against inflation and currency debasement.

Reflecting strong investor demand for the metal, holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, rose 0.3 per cent to 1,182.11 tonnes on Wednesday.

Among other metals, palladium rose 0.5 per cent to $1,926.33 per ounce, while platinum declined 0.3 per cent to $840.95 and silver fell 0.6 per cent to $18.66.