Big Gains for 22K Gold in Chennai on Dec 11; 24K and 18K Gold Spike Too, Silver Drops Rs. 1,000

Yellow Metal Rates in Chennai Today observed a huge rally in the bullion market. As the seasonal demand in India picked up, the gold prices in Chennai extended massive gains. The upcoming market focus remains glued to the crucial US Consumer Price Index (CPI) for more clarity on the lending rates.

Gold Price in Chennai today

The rise in prices is seen across all purities today. 22-carat gold prices in Chennai today cost Rs. 72,850 after rising by Rs. 800 per 10 grams. The 24-carat gold rate also leaped by Rs. 870 to cost Rs. 79,470 per 10 grams. And just like that, the 18-carat gold rates in Chennai jumped by Rs. 650 to cost Rs. 60,150.

The prices for 100 grams of 24-carat yellow metal are now Rs. 794,700 after huge gains of Rs. 8,700, and 22-carat gold also spiked by Rs. 8,000 to stand at Rs. 728,500 per 100 grams.

Silver Prices in Chennai Today

White metal rates in Chennai also observed a decline in price. Today 1 kg of silver in Chennai costs Rs. 1,03,000 after dropping Rs. 1000. Similarly, 100 grams of silver is also down by Rs. 100, which is now priced at Rs. 10,300.

Chennai Gold Price Movement in the Last Five Days

Over the last five days the prices have been quite volatile with major gains and losses.

Spot Gold and Spot Silver Rates in the International Commodity Market

According to a recent report by Reuters, spot gold increased by 0.2% to USD 2,698.47 per ounce as of 02:53 GMT, reaching its highest level since November 25. U.S. gold futures saw a 0.6% rise, climbing to USD 2,734.70 per ounce. Spot silver edged up by 0.1% to USD 31.93 per ounce, while platinum gained 0.5% to USD 947.55, and palladium advanced 0.7% to USD 975.19.

What Is Driving Gold's Rally?

Gold prices have experienced a retreat after reaching a two-week high, as per a recent analysis report by FXStreet. This pullback is mainly due to investor caution ahead of the release of the U.S. Consumer Price Index (CPI) report, a key metric that could influence the Federal Reserve's monetary policy decisions. Bets on a less dovish Federal Reserve and increasing U.S. bond yields have bolstered the U.S. dollar, creating downward pressure on gold.

The report further stated that geopolitical tensions remain a significant factor supporting gold. Israel recently launched airstrikes on military targets in Syria and deployed ground troops beyond a demilitarized buffer zone for the first time in five decades.