Gold prices reclaim ₹88,000-mark amid global trade war fears; silver jumps ₹800

Gold prices rose ₹140 to ₹88,100 per 10 grams in the national capital on Thursday amid strong trends in the international markets, according to the All India Sarafa Association.

The precious metal of 99.9% purity had closed at ₹87,960 per 10 grams on Wednesday.

Gold of 99.5% purity went up ₹140 to ₹87,700 per 10 grams from the previous close of ₹87,560 per 10 grams.

"Gold recovered from a recent swing bottom and traded higher on Thursday, as haven demand remains intact in response to multiple disruptive tariff announcements by President Trump that are scheduled to be implemented shortly," Saumil Gandhi, Senior Analyst - Commodities at HDFC Securities, said.

Silver prices also jumped ₹800 to ₹98,000 per kg on Thursday. The white metal had settled at ₹97,200 per kg in the previous trading session.

Investors remain worried that the US President's trade tariffs might trigger a global trade war, which continues to act as a tailwind for safe-haven metals like gold, Gandhi said.

In futures trade on the MCX, gold contracts for April delivery climbed ₹364 to trade at ₹85,845 per 10 grams.

"Gold prices gained once again despite the US CPI (Consumer Price Index) data not rising significantly and the US Federal Reserve indicating no urgency in cutting rates," Jateen Trivedi, VP Research Analyst - Commodity and Currency at LKP Securities, said.

The safe-haven appeal of gold continues to support its strength, keeping the broader bullish sentiment intact, Trivedi added.

Silver futures increased ₹191 to ₹95,693 per kg on the Multi Commodity Exchange (MCX).

In the overseas markets, comex gold futures for April delivery rose $15.90 per ounce to $2,944.60 per ounce. Meanwhile, spot gold also appreciated by $12.72 per ounce, or 0.44%, to $2,916.76 per ounce.

However, comex silver futures are trading flat at $32.77 per ounce in the Asian market hours.

According to Kaynat Chainwala, AVP-Commodity Research, Kotak Securities, investors are also awaiting Producer Price Index (PPI) data due to be released later on Thursday for further guidance on monetary policy and for the bullion prices as well.