Gold Rates Are Expected to Surge In India, As Inflation Rose 40 Years High In US

The USA Labor Department has released data showing the CPI inflation rate in the country surged a 40 years high range in January, this year. In the past 1 year, it has gained by 7.50%. Analysts were already anticipating this surge in inflation, as the supply-chain bottleneck did not ease much and the US Federal Reserve kept the interest rate at near zero. As a certain impact, gold rates are going to increase significantly in the international markets. As a hedge against inflation, the yellow metal will boom.

However, with a price rise, the demands for gold by common citizens can be impacted. But investors and traders are keeping confidence in the precious metal. If the US Fed wants to combat the rising inflation rate, the central bank will hike the interest rate as soon as possible, as the Fed Chairman Jerome Powell indicated recently. With an interest rate hike, US bond yield will be more profitable. At that time, gold rates might ease a bit.
However, Indian gold rates, on February 11, remained the same as yesterday. The 22 carat gold prices are quoted at Rs. 45,800/10 grams, and the 24 carat gold rates are quoted at Rs. 49,970/10 grams.

Gold rates are quoted differently, daily. Today's gold rates in major Indian cities follow:

The Comex gold futures fell only by 0.77% and were quoted at $1822.0/oz, till last traded. On the earlier day, Comex gold futures closed at $1836.20/oz. The spot gold prices were quoted at $1823.20/oz, fell by 0.24%, till last traded. The US dollar index in the spot market stood at 95.98, gaining by 0.19%. However, in India, the MCX gold in April future quoted at Rs. 48,691/10 grams, fell by 0.54%, till last traded.