Karnataka govt mulls ban on cow slaughter, beef consumption

New Delhi, Jun 26: With looming uncertainty and no likelihood of an early economic recovery in sight, the bull run in gold prices is here to stay. Analysts expect domestic futures to touch ₹ 52,000 per 10 grams in the next few months, till Diwali.

Experts also predict that with the current trend, gold may reach historic levels around ₹ 65,000 per 10 grams in two years time.

Futures of the yellow metal have touched new highs in India off late. On Wednesday, the August contract of gold futures on the Multi-Commodity Exchange (MCX) touched an all-time high of Rs 48,589 per 10 grams.

It has, however corrected since and is currently trading at ₹ 48,057 on the MCX, higher by ₹ 116 or 0.24 per cent from its previous close.

Market experts are of the view that both domestic and international gold prices are yet not done breaching records and will touch new highs in days to come.

The resurgence in the number of new cases of coronavirus infection across the globe has added to the uncertainty and fears.

Speaking to media persons, Anuj Gupta, DVP for Commodities and Currencies Research at Angel Broking, noted: "In short term we are expecting it to reach ₹ 48,800-49,000 and for long term, we are expecting ₹ 51,000-Rs 52,000 till Diwali."

On the prices in the international market, he said that it may reach around $1,790 per ounce in the near term from the current levels of $1,762 and the long term, it is likely to be around $1,820-1,850 per ounce.

Gupta noted that with International Monetary Fund's (IMF) latest downward revision of economic outlook, both global and of India, and the rising number of cases and high demand by gold exchange traded funds (ETF) have led to this record breaking rise in gold prices.

Covid-19 battered India's economy is projected to contract by 4.5 per cent this fiscal, according to the IMF and the global output is projected to decline by 4.9 per cent in 2020, 1.9 percentage points below the IMF's April forecast.

Hareesh V, Head of Commodity Research at Geojit Financial Services, said that gold's safe haven appeal will remain on the higher side as there is little hope of a quick global economic recovery amid rising virus cases across the world.

"Increased geopolitical instability and an under-performing dollar also lift the metal's sentiments," he added.

According to Prathamesh Mallya, AVP Research, Non-Agro Commodities & Currencies at Angel Broking, said that with the global output to contract and the economies in a deeper recession than most anticipate, gold as an asset class is a safe bet for investors across the globe.

"Although, the physical demand has declined drastically due to the restrictions and lockdowns, the activity of global central banks and their net purchases of gold signal that uncertainty will continue for most of 2020," he said.

He was also of the view that in the international market price of the metal may move towards $1,850 per ounce and in the domestic market it is likely to move higher towards Rs 50,000 per 10 grams.

"The investment demand as seen in the net additions of ETF holdings also signals that gold will shine for a much longer time even if the pandemic is under control. Till then, keep buying gold, if not in physical form, but in digital form," Mallya added.

Industry insiders like Aditya Pethe, Director, WHP Jewellers said: "I basically feel that the current trend for the gold is bullish and for the coming next 2 years, it is likely to move upwards. No one can predict the exact price as currently the trend is on rise but it might change after 6 months. In general for the coming 6 months to one year, the gold prices are likely to cross $2,000 which comes to roughly Rs 55,000. For a temporary moment it may reduce, basically fluctuate as well but overall trend of gold is going to be bullish."

On his part, Ishu Datwani, Founder, Anmol Jewellers said: "Yes - it's very likely that the gold price could easily go up to Rs 60,000-Rs 65,000 in the next two years. There is also a possibility of it going up even more."

"A lot of banks have been buying gold and there is also a possibility that the Indian rupee will depreciate against the dollar. This and geopolitical reasons will cause bullishness in gold."

Mysuru, Jan 20: A 100-member team of National Security Guards (NSG) has arrived in the city for bolstering security measures in the tourist centre and to demonstrate the preparedness of the elite force to tackle any exigency in the region.

The annual maintenance of the Mysuru Palace will be taken up on Monday and the NSG commandos are expected to give suggestions and directions for improving the security at the place. It is also said that the commandos may visit Mysuru airport.

It is also said that the commandos may visit Mysuru airport. According to sources, from the Palace Board, the team of commandos reached Mysuru two days ago and interacted with the officials and engineers of the Palace Board.

Bengaluru, Jul 7: There seems no impact of Covid-19 on kharif crop sowing in Karnataka with the current year actually being ahead of previous years, according to an official here on Monday.

"In agriculture, as far as sowing is concerned, there is no impact of COVID-19," Agriculture Commissioner Brijesh Kumar Dikshit told IANS. One of the reasons, according to Dikshit, is that people in rural areas are aware, but not scared of the pandemic.

"In rural India, coronavirus is there. People are aware, not scared. They are taking precautions, but don't have any phobia," he said.

Another reason was that by June the number of infections in Karnataka was not as high as other states, when a lot of sowing was done, he said.

By the end of June, Karnataka saw 15,242 Covid-19 cases. Of that, 7,074 were active.

The sowing is ahead of previous year as it's mostly dependent on weather. "It's ahead of previous years. Agriculture is directed by weather and rains had been slightly earlier this year," he said.

According to Karnataka State Natural Disaster Monitoring Centre, at 185 mm the state received 14 mm less rain in June against the normal 199 mm. "It's like a normal year, or slightly a good year," he said.

Some crops will be sown in the last fortnight of July and few more will extend up to August 15. "The last two weeks will be critical and on July 31 we should be able to tell whether we are short or ahead," he said.

According to preliminary indications, the Commissioner said the area under agriculture is increasing this year, which could also be because that labourers might have come back.