The white metal touched the $50 per ounce level for the first time in the overseas markets

Silver prices surged by Rs 6,000 to hit a fresh record of Rs 1,63,000 per kg in the national capital on Thursday as the white metal touched the USD 50 per ounce level for the first time in the overseas markets.

Analysts said robust industrial demand, geopolitical, economic uncertainties and growing expectations of interest rate cuts by the US Federal Reserve have spurred the demand for the white metal.

The white metal saw such a steep surge for the second time in a week. It climbed Rs 7,400 to close at Rs 1,57,400 per kg on October 6.

According to the All India Sarafa Association, silver had closed at Rs 1,57,000 per kg on Wednesday.

In the local bullion market, gold of 99.9 per cent and 99.5 per cent purity stayed unchanged at their all-time high levels of Rs 1,26,600 per 10 grams and Rs 1,26,000 per 10 grams (inclusive of all taxes), respectively, on Thursday.

Globally, spot gold was trading marginally lower at USD 4,039.26 per ounce.

Silver rose more than 2 per cent to breach the crucial USD 50 per ounce mark in the spot markets for the first time.

"Silver rose to hit record highs as heightened political and economic uncertainties and bets on US rate cuts drove safe-haven demand," Jigar Trivedi, Senior Research Analyst at Reliance Securities, said.