New Delhi, Aug 21 (PTI) Gold and silver prices surged to more than three-month high levels in the national capital on Friday, extending their gains for a second straight session as a weak US dollar and firm global trends drove investors towards precious metals.
The yellow metal of 99.9 per cent purity appreciated by Rs 1,200 to Rs 1,63,500 per 10 grams (inclusive of all taxes), up from the previous close of Rs 1,62,300 per 10 grams, according to local traders.
The precious metal was last quoted around these levels on May 19, when it had stood at Rs 1,63,600 per 10 grams.
Silver also mirrored the bullish trend, jumping Rs 5,000 to Rs 2,50,000 per kilogram (inclusive of all taxes), its highest level in 15 weeks. The white metal had settled at Rs 2,45,000 per kg on Thursday and gained Rs 15,000 over the last two sessions.
It was last seen near these levels on May 4, when the price was quoted at Rs 2,49,500 per kilogram.
“Gold extended its rally on Friday’s session and is heading for its third consecutive weekly gain, while silver also remained strong, supported by a weaker US dollar and falling longer-term Treasury bond yields,” Gaurav Garg, Head of Research at Lemonn Markets Desk, said.
In the international markets, spot gold extended its rally on Friday, gaining USD 81.58, or 2 per cent, to USD 4,600.91 per ounce, and silver jumped nearly 3 per cent to USD 69.87 per ounce.
“Spot gold surged to around USD 4,600 an ounce, its highest level since May 18, 2026, and remained on track for a third consecutive weekly gain,” Saumil Gandhi, Senior Analyst – Commodities at HDFC Securities, said.
Strong investment demand and heightened volatility across currency and bond markets continued to support the precious metal, he added.
Praveen Singh, Head of Commodities at Mirae Asset ShareKhan, said gold has gained more than 4 per cent this week after the US Treasury Department expanded its bond-buying programme to double its long-term debt buybacks aimed at containing borrowing costs.
The move triggered a sharp fall in the US dollar and bond yields, providing fresh momentum to bullion. Although US yields have since stabilised as investors questioned the durability of the Treasury’s measures, gold has managed to retain most of its gains.
Bullion also drew support from a slight retreat in oil prices in the overseas markets, Singh said.
Geopolitical tensions added another layer of uncertainty, with the Trump administration set to announce what it described as the harshest economic sanctions on Iran.
However, Tehran has dismissed the move as a continuation of failed tactics, arguing that Washington itself is grappling with soaring debt and record interest payments amid elevated bond yields.
Market participants are awaiting key macroeconomic data, including US S&P PMIs, for fresh cues on the American central bank’s monetary policy outlook, Singh added.
