Gold rallies on MCX on strong buying interest

Gold rallied on the MCX, jumping by Rs 500 on strong global cues. Gold for October delivery was up by Rs 522 on the MCX, while Silver for Oct delivery was up Rs 668 at Rs 48,570.

In the international markets gold gained after a US government shutdown saw buying interest in the precious metal.

An impasse between President Barack Obama and Republican lawmakers has forced the U.S. government to begin a partial shutdown on Tuesday.

Investors are now worried as there is a bigger problem as Congress must raise the debt limit in coming weeks or risk a default that could have an impact on global markets.

However, any complications would be good news for investors in the precious metal.

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