Gold record smashing gains as prices race above $4000, WGC says

COMEX Gold futures are soaring, adding to their recent gains amid upbeat assessment about near term demand from World Gold Council (WGC). The metal tested $4000 per ounce in last session, breaking through to a fresh record high and gained further today. The counter currently trades at $4058 per ounce, up 1.30% on the day and is up nearly 5% so far in this month. Gold is building upon the 10% spike in September and looks placed in a position of strength as it has managed to hit record highs despite US equities also holding around record high territory. Meanwhile, the World Gold Council stated in a latest update that year-to-date gold is up 47%, marking the highest return in a calendar year since 1979. The move higher was supported by political tension, strong options market activity, and currency weakness. October is known for large equity sell offs, and risks are riding quite high. Concerns that gold?s hitherto stellar performance might be an impediment to its hedging credentials are unwarranted, according to WGC analysis. On MCX, Gold futures are trading at Rs 122709 per 10 grams, up 1.32% on the day. Spot prices are near Rs 120000 per 10 grams mark compared to around Rs 75000 per 10 grams mark year ago.

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