Gold prices witnessed a sharp surge in Chennai on Wednesday, rising by Rs. 3,040 per sovereign in a single day.
According to market sources, the price of 22-carat gold increased by Rs. 380 per gram to Rs. 14,050, taking the price of one sovereign to Rs. 1,12,400.
Gold prices, which have been volatile in recent months, had earlier touched record highs, crossing Rs. 1.25 lakh per sovereign in February before witnessing a decline.
The fluctuations were attributed to global factors, including geopolitical tensions and movements in crude oil prices and the US dollar.
Market analysts said rising crude oil prices and strengthening of the dollar had earlier led to a dip in gold rates, with intermittent fluctuations continuing through March.
Meanwhile, silver prices also recorded a notable increase in Chennai. Silver is being sold at Rs. 265 per gram, while one kilogram of bar silver is priced at Rs. 2,65,000.
Traders noted that both gold and silver opened the first trading day of April on a strong note, reflecting renewed buying interest in the bullion market.
