Gold prices rose above the key Rs 32,000 per 10 grams in Delhi today, breaking a three-day losing streak.
Gold prices rebounded by Rs 230 to reach Rs 32,090 per 10 grams in the national capital, news agency Press Trust of India reported.
Domestic gold prices were supported by firm demand from jewellers and a mild gain in global prices amid political turmoil in Italy, according to traders.
Gold is often seen as a safe investment during times of political and financial uncertainty.1.
In Delhi, gold of 99.9 per cent and 99.5 per cent purity recovered by Rs 230 each to Rs 32,090 and Rs 31,940 per 10 grams respectively, according to Press Trust of India.
Gold prices had fallen by Rs 615 in the past three sessions.(Read:Buying gold Here's what experts say|How gold investments are taxed)2.
Silver ready, however, fell by Rs 200 to Rs 40,700 per kg.
Weekly-based delivery plunged by Rs 335 to Rs 39,785 per kg.
Silver coins were unaltered at Rs 76,000 for buying and Rs 77,000 for selling of 100 pieces.3.
Gold prices edged up in the international market.
Spot gold was 0.1 per cent higher at $1,298.86 per ounce, news agency Reuters reported.
US gold futures for June delivery were nearly unchanged at $1,298.80 per ounce.4.
The dollar index, which measures the greenback against a basket of six major currencies, hovered near its six-and-a-half-month peak touched in the previous session.
On Wednesday, the rupee traded in the range of 67.89-67.43 against the US dollar.
The rupee had settled at 67.86 against the greenback on Tuesday.(Gold jewellery vs gold ETF vs gold bond - where to invest)5.
Investors fear that repeat elections in the euro zone's third-largest economy - which could come as soon as July - may become a de-facto referendum on Italian membership of the currency bloc and the country's role in the European Union.(With agency inputs)