India, Oct. 20 -- Gold and silver prices returned to a rally on Diwali day after a break over the Dhanteras weekend, according to data from the Multi Commodity Index.

MCX Gold price rose as much as 0.97% to Rs.1,28,556 for 10 gm even as the MCX Silver price increased 2.8% to Rs.1,59,875 per kg, according to data on the MCX website. The bullion had traded lower over the weekend.

Globally, gold prices edged higher, helped by chances of more US Fed rate cuts while investors awaited US inflation data and US-China trade talks this week.

Spot gold was up 0.1% at $4,253.33 per ounce. US gold futures for December delivery climbed 1.3% to $4,266.30 per ounce. Spot silver rose 0.5% to $52.12 per ounce. Prices fell about 4.4% on Friday in their w...