Yellow metal prices on Wednesday surged as on the Multi Commodity Exchange (MCX) gold August futures traded higher by Rs 62 to trade at Rs 47,635 per 10 gram. In the previous session, gold prices had ended at Rs 47,573.
Silver also witnessed a jump as September futures moved up by Rs 236 to reach Rs 66,292 per kg. In the previous session, silver had ended at Rs 66,056.
At the international level, yellow metal was flat on Wednesday, hovering around the $1,800 per ounce mark. Spot gold was flat at $1,798.75 per ounce, while US gold futures fell 0.1% to $1,798.20 per ounce.
Meanwhile investors are awaiting the US Federal Reserve's meeting for indications on policy.
"COMEX gold trades marginally higher near $1802 per ounce after a near flat close yesterday. Gold is supported by weaker US dollar and safe haven buying amid rising virus cases, uneven global economic recovery and concerns about Chinese economy. However, uncertainty ahead of the Fed decision, weaker ETF interest and relative strength in the US equity market has kept a check on the upside. Gold may remain choppy ahead of Fed decision however a sharp fall may be seen only if Fed sounds too hawkish,” said Ravindra Rao, Head of Commodity Research, Kotak Securities.