Gold prices on Monday crossed the Rs 60,000 mark as investors took refuge in the safe haven asset, shunning riskier avenues such as stocks amid worries over a banking contagion following the collapse of two lenders in the US.

At the MCX, gold futures (April 5), which opened at Rs 59,418 per 10 gram, shot to a day’s high of Rs 60,455 during intra-day trades. It later cooled off and was trading at Rs 59,383 per 10 gram.

In the national capital, the yellow metal gained Rs 1,400 to touch a life-time high of Rs 60,100 per 10 grams amid strong global trends, according to HDFC Securities. The precious metal had ended at Rs 58,700 per 10 grams in the previous trade.

Silver also zoomed Rs 1,860 to Rs 69,340 per kilogramme.

In the overseas markets, both gold and silver were trading higher at $2,005 per ounce and $22.55 per ounce, respectively.

According to Colin Shah, managing director, Kama Jewelry, while gold prices have risen almost 7-8 per cent in the past month, the rally in the yellow metal is primarily due to the banking crisis in the west.

“The liquidity infused by the central banks and the expectations of lower to no rate hikes is pushing gold prices up. Gold is a safe haven, historically it has gained in periods of uncertainty. Gold prices hitting a fresh high is a sign of slower economic growth and lower interest rates.”