Gold rises Rs 600 to Rs 1,46,900 per 10 grams in Delhi as cheaper oil and a firm global tone lift bullion

Gold recovered in India's capital on Monday. The Press Trust of India reported, in a story carried by ThePrint, that the 99.9% pure metal rose Rs 600 to Rs 1,46,900 per 10 grams in New Delhi, after closing Friday at Rs 1,46,300. Silver did not join the rebound: it stayed at Rs 1,92,500 per kilogram, inclusive of all taxes, according to local traders cited by PTI.

The number behind the number

Rs 600 on Rs 1,46,300 is a gain of about 0.41% by our arithmetic. Abroad, PTI says spot gold rose $29.69 to $4,100 an ounce, which works out to roughly 0.7% from the prior level. The Delhi price did not match the global move in percentage terms, which is a reminder that the local quote also reflects the rupee and import costs, not only the dollar price of the metal. PTI did not give the day's rupee rate, so we do not break the gap down further.

Silver abroad rose more than 1% to $52.58 an ounce, per PTI, yet the Delhi silver price was flat. Local price quotes are set by traders at a point in time and can lag the screen.

What analysts quoted by PTI say drove it

• Oil. Saumil Gandhi of HDFC Securities pointed to easing crude and a steady dollar. PTI also credits President Trump's conciliatory stance on Iran with moderating oil and inflation worries. Our earlier report has the US-side numbers, including WTI's drop.
• Festival demand. Gaurav Garg of Lemonn said the recent correction in international prices encouraged physical purchases during Diwali. We covered the other side of that in Dhanteras sales up 15-20% in value, volumes flat.
• Central banks and the Fed. PTI notes the People's Bank of China extended its buying streak to 24 months (see our report), while stronger US jobs data keeps a December Fed hike in play, per Motilal Oswal's Manav Modi.

Who it touches

Jewellers restocking after Diwali face the same price they quoted last week, give or take 0.4%, so a one-day rebound does not change margins much. Gold-loan lenders benefit when collateral values rise, which is why traders watch that sector on days like this. For anyone outside India, the point is that the recovery is a rebound inside a decline: our chart shows gold futures about 22.4% below their January 29 peak.

What to watch

PTI's analysts name US inflation data, oil, Russia-Ukraine talks and Fed signals as the next drivers. The October CPI report is due Tuesday, Nov. 10, at 8:30 AM ET, per the BLS schedule. Our gold chart page tracks the live price.

Sources: PTI via ThePrint; Yahoo Finance; Chronicle reporting. Business Standard, Bloomberg and Reuters ran headlines on the same move; we read only the PTI text. Delhi prices are local trader quotes and can differ by dealer. This is market information, not investment advice.