Gold prices soared by Rs600, its biggest one-day surge this year, to trade at its highest level in more than three weeks at Rs26,000 per ten grams on Wednesday, tracking uptrend in the global bullion market and on a seasonal pick up in demand from jewellers and retailers. The precious metal again topped $1,100 an ounce mark in the global market.
The depreciation in rupee, which plunged to almost two-year low against the dollar, also supported the upside in the global prices as it would make imports costlier. In the forex market, rupee was trading 75 paise lower at 64.94 (intra-day) against the American currency. Silver also rose sharply by Rs640 to Rs35,700 per kg on increased offtake by industrial units and coin makers.