New Delhi: Gold prices surged by Rs 1,070 to hit an all-time high of Rs 68,420 per 10 grams in the national capital on Monday amid a rally in the precious metal in global markets, according to HDFC Securities.

The precious metal had closed at Rs 67,350 per 10 grams in the previous trade.

Silver prices also jumped by Rs 1,120 to Rs 78,570 per kg. In the previous trade, it had closed at Rs 77,450 per kg.

Gold prices touched record levels as the US Federal Reserve is getting closer to cutting interest rates which is adding momentum to a rise in bullion prices. “Additionally, robust Chinese demand also feeding a rise in the prices of the precious metal,” Dilip Parmar, Research Analyst at HDFC Securities, said.

Meanwhile, in futures trade on the MCX, the June contract of gold climbed Rs 978 to Rs 68,679 per 10 grams. The May contract of silver rose by Rs 763 to Rs 75,811 per kg.

In the overseas markets, spot COMEX gold prices climbed as much as USD 2,265.73 per ounce and last quoted at USD 2,257.10 per ounce.

“Gold rises to yet record high above USD 2,280 per ounce in the overseas futures and Rs 69,487 per 10 gm on MCX futures, as better than expected US growth data and sticky inflation above 2.5 per cent which raises concerns around the expected rate cut at the Fed’s June meeting.

“The dollar index is seen trading steady as many markets are closed today for Easter holiday,” Pranav Mer, Vice President, EBG – Commodity & Currency Research at JM Financial Services Ltd, said.

Silver was also trading higher at USD 25.13 per ounce. In the previous session, it had closed at USD 24.55 per ounce.

“Further, major US data, including manufacturing Purchasing Manager’s Index (PMI) to be released on Monday which will provide further direction for the Federal Reserve’s monetary policy outlook,” Praveen Singh, Associate VP, Fundamental Currencies and Commodities at Sharekhan by BNP Paribas, said.