Crude oil prices on Friday rose nearly 4 per cent to Rs 4,514 per barrel due to concerns over global crude supplies amid rising tensions between the US and Iran.
On the Multi Commodity Exchange, crude oil for delivery in January traded higher by Rs 171, or 3.94 per cent, to Rs 4,514 per barrel in 85,893 lots. Crude oil for February delivery was up by Rs 172, or 3.96 per cent, at Rs 4,514 per barrel with an open interest of 3,977 lots.
Market benchmark Sensex tumbled 162 points on Friday as global investors turned risk-averse after the killing of a top Iranian general by the US fuelled fears of a geopolitical conflict.
The 30-share BSE index ended 162.03 points, or 0.39 per cent, lower at 41,464.61. Similarly, the broader NSE Nifty closed 55.55 points, or 0.45 per cent, down at 12,226.65.
Asian Paints was the top loser in the Sensex pack, dropping 2.16 per cent, followed by Axis Bank, Bajaj Auto, SBI, NTPC and Bajaj Finance.
On the other hand, Sun Pharma, TCS, HCL Tech, Infosys, Tech Mahindra and Bharti Airtel rose up to 2.08 per cent. Gold prices zoomed Rs 752 to Rs 40,652 per 10 gram in the national capital on Friday on strong global trend and weak rupee, according to HDFC Securities.
Similarly, silver prices also jumped Rs 960 to Rs 48,870 per kg from Rs 47,910 per kg in the previous trade.
Gold had closed at Rs 39,900 per 10 gram on Thursday.
“Taking cues from global prices and weaker rupee, spot gold for 24 Karat in Delhi quoted at Rs 40,652 per 10 grams,” HDFC securities Head – Advisory (PCG) Devarsh Vakil said.
In early trade on Friday, the rupee depreciated by 24 paise to 71.62 weighed by spike in crude oil prices, after US President Donald Trump ordered deadly strike on an Iranian commander.
In the global market, both gold and silver depicted a bullish trend, quoting with gains at USD 1,547 per ounce and USD 18.20 per ounce, respectively.
“Gold prices traded higher today as geopolitical tension triggered the safe haven buying in international rates,” Vakil added.
According to traders, investors moved away from risky assets after top Iranian commander Qasem Soleimani was killed in a US strike in Iraq.
World leaders reacted to the assassination with alarm, flagging concerns over a rise in regional tensions.
Bourses in Shanghai and Hong Kong ended in the red, while Seoul settled a tad higher.
Stock exchanges in Europe opened significantly lower.
On the currency front, the rupee depreciated 37 paise against the US dollar to 71.75 (intra-day).