Bullion futures rally as weak dollar lifts sentiment

Precious metals surged in the futures trade, with silver soared nearly 5 per cent to Rs 2.61 lakh per kilogram while gold climbed to Rs 1.57 lakh per 10 grams.

Traders said the sharp rise in both metals came on the back of a rebound in global markets, a weaker US dollar and renewed investor appetite for the safe-haven assets.

Silver futures for March delivery rallied by Rs 11,853, or 4.74 per cent, to Rs 2,61,745 per kilogram in a business turnover of 6,396 lots.

Gold futures also witnessed strong buying, with the April contract rising by Rs 2,089, or 1.34 per cent, to Rs 1,57,540 per 10 grams in 8,279 lots on the MCX.

In the international market, silver futures on the Comex advanced $4.80, or 6.25 per cent, to $81.70 per ounce, while gold climbed to $81.69, or 1.64 per cent to $5,061.49 per ounce.