Gold futures rose by ₹150 or 0.57%, to ₹26,618 per 10 grams on Tuesday, on the back of speculators increasing positions, reflecting buoyant sentiment abroad.

The metal is seen as a hedge against oil-led inflation and has been moving in tandem with oil prices. Crude oil fell to a five-year low on Monday, dropping below $66.

The multi-commodity exchange saw April-month gold delivery rise 0.57%, with volume size of 12 lots. February futures saw prices increase by ₹144, or 0.55%, to ₹26,505, with turnover of 566 lots.

The yellow metal managed to hold above $1,200.80 per ounce, up 0.49%, in Asian trade.

Gold bars