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."
However, the case is not completely solved as the 21-year-old girl, who was found with her boyfriend house at Naimarmoola near Kasargod on Friday, told the police that she would not return to her parents' house.
Comments
Best Decision?? how do u know ?? How can you tell that??
Happy Married Life
hahaha.. sorry yaaro odihodlu antha burnol and itch guard haakolllodakke naavenu jihadi gala ... we are now enjoying surgical strikes on mini pakistanis ... kushi ge yenne hodeyodralle busy weekend nalli ... saw indian channels , in almost all channels ...Jihadis and burqas ninthonkondu modi na baiyyodu nodidre gottagate ,burnol and itch guard yelli jaasthi agide antha gottu ...
neo converts are used by ISIS to wage Jihad , namge worry irodu ashte ... its two way process kanree ... even last week i saw 2 muslim gals leaving piece ful religion towards hinduism and christianity ...
abbu beary samadhana kanappa ... nin kashta artha agatte ... rashtradrohi kelasa nodi ... police and NIA involve age agatte ...yevano jayanthi anthavne kanrappo ... jayanthi annodu hoge haaksi kondavrige kanappa ... swalpanadru general knowledge beku .. madrasa product antha gottagi biduthe ...hhahaha...adakke bere 6 liikings , it proves madrasa education yaav level ge antha ...
Naren Kotian
You have mistaken Sanathan Dharma. We are the true followers of Sanathan Dharma which prohibits Idol Worship.
We recite Gayathri mantra 17 times in our prayer. Rigveda 3-62-10
It is the first chapter of the Quran.
It has to be logically from One Supreme Creator who has no Image. Creator who is unlike His creations. Understand the Truth. Study your scriptures learn sanskrit come back to the Truth.
Because Truth is going to succeed and falsehood is bound to perish
She has come back to the Sanatan Dharma
Happy married life for couple. Burnol+ itch guard to naren Singapore.
Best decision from her side, congrats
Naren bhai ... u have mistaken !!!! The picture what cd published here is her old picture when she was a piece , in sha allah we can see a peacefull picture of her in the future with the hijab
MADHUVE JAYANTI FOR BOTH...AND BURNOOL JAYANTI FOR CHADDIS.
If Muslim girl elopes with Hindu boy, police intervene to unite them. Here, the case is vice versa and the same police are separating the couple. What a tragedy.
her t shirts speaks alot she left peaceful religion( sanatan dharma) and joined piece piece religion :) hahaha ... not a loss,its two way process ... but NIA must track these guys becoz converts are used in ISIS .We know 21 neo converts joined ISIS from kasragod . there is chance of waging jihad against own country
This love, staying with a girl before marrieage, and dont know the islam , Quran and hadith. Simply enjoying in duniya is not the behaviour of true muslim. They are spoiling their life here and here after even took birth in muslim family and have a name of muslim. and also they are spoiling the name of our muslim community. Our prophet Muhammad(PBUH) Said, a Muslim sweeping lady is better than other non muslim girls to marry.
made for each other.
let them lead their life. good or bad finally they are the one who suffer.
giving birth , giving education , love and everything by the parents and finally the girl is saying that i don't want parents and the boy who poses like Salman Khan is her choice.
she will repent one day.
at the moment let them both enjoy....
Wher is my comment?why you do not posted my comments?is there any mistake is there? please CD dont show double standeard becouse im one of the reguler reader..
This is the result of advanced tech. Parents has to check their all mobile no.s which has fake names i.e real boys name as girl's name (dummy) and incoming calls blocked by lovers. Only user will unlock during parents absence.
parents are not much educated enough to the effect of Facebook and whatsapp. If you want to provide phone to your children give them simple phone where they can not download illicit apps
May Allah (SWT) guide the couple with hidaayah!!! We should not blame them. Islam is not dependable. Enough preacher for Islam.
Congratulations Girl for the best decision.
Police dept to call both both parents with them and discuss face face and try to solve with in their limit and both elders satiso actiso action.
Interference of any dirty criminal groups, anti Indian groups or any communal mind political leader or their organized goonda group department must take strict action and send them behind bar at least for one year period for igniting communal tension.
Trust this will spoil all trouble makers intention and their political benefit gains.
irrespective of religion all middle class citizens are suffering with present red currency exchange procedures. In between communal mind politicians creating problem and planning communal tension is not faith.
God will never accept thought.
Jai Hind!
Well she should not be blamed it is bcoz of unproper teaching if she know teachings it would not had happened
Congratulations to the couple, leave in peace, take care of each other.
we respect all the religions, but above all it's love. loving each other is more important than anything else. They have won the love, may god bless you, LOVE IS GOD.
Cute Couples, happy married life to both.
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