Gold prices surge amid weak rupee and US rate-cut hopes
Gold prices climbed sharply on Wednesday, continuing their upward momentum in both domestic and international markets, driven by a depreciating rupee and expectations of monetary easing in the United States.
In India, the rupee hit an all-time low against the US dollar, fueling demand for local bullion, analysts said. On the Multi Commodity Exchange (MCX), gold futures for the February 2026 contract rose by Rs 1,007, or 0.78%, to Rs 1,30,766 per 10 grams, marking the latest leg of the precious metal’s rally, News.Az reports, citing foreign media.
Global markets mirrored this trend, with gold and silver futures gaining ground amid growing investor confidence that the US Federal Reserve will announce an interest rate cut next week. At the Comex, gold for December delivery increased by $29.3, or 0.7%, to $4,215.9 per ounce, while the February 2026 contract rose $39.3, or 0.93%, to $4,260.1 per ounce.
Market analysts note that the combination of a weak rupee and anticipated US rate cuts has strengthened gold’s appeal as a safe-haven investment, drawing both domestic and international buyers.
Investors are closely watching upcoming US economic data and Federal Reserve announcements, which are likely to influence the trajectory of gold and other precious metals in the short term.
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