New Delhi: Gold prices rose for the seventh consecutive session, surging Rs 2,600 to Rs 1.59 lakh per 10 grams in the national capital on Wednesday, tracking firm global trends and strong bullion demand.

The yellow metal of 99.9 percent purity appreciated by Rs 2,600 to Rs 1,59,800 per 10 grams (inclusive of all taxes) from Tuesday's closing level of Rs 1,57,200 per 10 grams, according to the All India Sarafa Association.

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It had gained Rs 12,400, or 8.4 percent, over the past seven sessions from Rs 1,47,400 per 10 grams on August 3.

Silver also advanced Rs 4,000 to Rs 2,46,000 per kilogram (inclusive of all taxes). The white metal had settled at Rs 2,42,000 per kg in the preceding session.

Gold rose in the domestic markets as investors increased safe-haven buying ahead of the US inflation data, while persistent geopolitical tensions in West Asia supported demand for precious metals, Gaurav Garg, Head of Research at Lemonn Markets Desk.

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Saumil Gandhi, Senior Analyst - Commodities at HDFC Securities said, a pullback in US Treasury bond yields and a steady dollar also provided support for precious metals.

However, gains remained limited as investors stayed on the sidelines ahead of US inflation numbers, he added.

"Market participants will closely assess the data for signs of persistent price pressures, particularly given elevated gasoline prices that could keep inflation concerns in focus and encourage Fed officials to maintain a cautious stance," Gandhi said.

In the global markets, spot gold gained USD 44.48, or 1.02 percent, to USD 4,412.63 per ounce, while silver was trading 2.37 percent higher at USD 66.23 per ounce.

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