Silver jumps `5,000; gold advances Rs 2,300 on weak dollar

New Delhi: Silver prices jumped Rs 5,000 to Rs 2.42 lakh per kilogram in the national capital on Monday, while gold advanced to Rs 1.53 lakh per 10 grams due to easing crude oil rates and a weak US dollar.

According to the All India Sarafa Association, the white metal appreciated by Rs 5,000, or 2.11 per cent, to Rs 2,42,000 per kg (inclusive of all taxes) from Friday’s closing level of Rs 2,37,000 per kg.

Gold of 99.9 per cent purity also advanced by Rs 2,300, or 1.52 per cent, to Rs 1,53,800 per 10 grams (inclusive of all taxes). It had settled at Rs 1,51,500 per 10 grams in the previous session.

Analysts said bullion prices recovered amid value buying following the recent decline in precious metals.

Gold prices recovered on Monday as traders engaged in bargain buying, supported by a pullback in the US dollar and a decrease in oil prices, Saumil Gandhi, Senior Analyst - Commodities at HDFC Securities, said.

He added that precious metals are expected to remain sensitive to incoming geopolitical developments in West Asia, which will continue to play a crucial role in shaping market direction in the domestic markets.