On MCX, gold futures for October touched Rs 52,823 after rising 1% while silver futures for September rallied nearly 6% to close at Rs 70,690.
Multi Commodity Exchange of India on Wednesday said it will launch a liquidity enhancement scheme in the newly launched segment 'options on goods' with gold mini contract.
The liquidity enhancement scheme, popularly known as market making, will start from September 1, MCX
said in a circular.
"The Exchange, based on a competitive bidding process, will appoint the lowest (qualified) bidder in terms of 'bid incentive amount' as a single designated market maker for the product till the scheme remains in force. The maximum incentive bid amount is Rs 40 lakh per month, the exchange circular added.
In the international market, gold jumped over 1% on Thursday, rebounding from a near three-week low hit in the last session, as the dollar dipped and a slow recovery in the US labour market reinforced the economic toll from the coronavirus
Spot gold rose 1.5% to $1,947.08 per ounce, having slipped below $1,900 on Wednesday. US gold futures rose 0.2% to $1,952.10. "The dollar has been quite weak ... this recovery we've had (in the labor market) has been the low-hanging fruit. It's an easy bounce," said Edward Meir, analyst at ED&F Man Capital Markets.
The dollar was down 0.4% against rivals, bolstering gold's appeal for those holding other currencies, as Washington continues to remain in a stalemate over additional stimulus.
Adding to the gloomy outlook, Federal Reserve policymakers warned US growth would be muted until the coronavirus