After a continuous decline, the prices of gold and silver witnessed a sharp rise on Wednesday. On MCX, gold increased by Rs 3,088 to Rs 1,42,540 per 10 grams, and silver became costlier by Rs 6,902 to reach Rs 1,86,600 per kg.

Gold became costlier by Rs 3000 and silver by Rs 6900 in one stroke.

Wednesday was a busy day for gold and silver buyers. After a steady decline, gold and silver prices suddenly rose. Precious metal prices had been falling for some days, but today the market trend changed. Amid the results of the US midterm elections and the weakening dollar, investors have once again started investing in gold and silver. This impact was visible in the domestic market as well, and in one stroke, the price of gold rose by more than 3,000 rupees and silver by nearly 6,900 rupees.

On the Multi Commodity Exchange (MCX), gold for December delivery rose 2.21%, or ₹3,088, to reach ₹1,42,540 per 10 grams. Silver prices rose 3.84% to ₹1,86,600 per kg, a single-day increase of ₹6,902.

How did the shine of gold increase?

Following President Donald Trump's Republican Party's weak performance in the US midterm elections, market discussions about political uncertainty intensified. The Democratic Party gained ground in the Senate and House of Representatives. Consequently, investors preferred to invest in gold and silver rather than riskier options.

Apart from this, there was a significant softening in the dollar and US bond yields. Generally, when the dollar weakens, buying gold in the international market becomes cheaper for investors from other countries.

Prices also increased in the international market.

Gold and silver prices also rose sharply in foreign markets. Gold rose 2.32% to $4,031.90 per ounce on Comex. Silver, meanwhile, rose 4.10% to trade at $51.795 per ounce.

What will be the prices of gold and silver in the future?

According to market experts, the ₹140,000 level is a key support for gold on MCX. The next resistance is between ₹143,000 and ₹143,700. For silver , the ₹178,000 to ₹180,000 levels are considered support, while the ₹186,000 to ₹188,000 levels are considered resistance.