New Delhi: The price of gold is continuously increasing. Analysts believe that with the festive season and Diwali approaching, gold prices may reach Rs 80,000 per 10 grams. They say that this yellow metal has maintained its upward trend for the third consecutive year.
Rs 59,448 in Diwali last year
See how the price of gold is rising. Last year in November (month of Diwali), gold prices were Rs 59,448 per 10 grams. There it has now increased by more than 18%. The main reasons for this are increased geopolitical tensions in West Asia and concerns of an economic slowdown following the US Fed’s aggressive interest rate cuts. Additionally, the impending US presidential election introduces a level of political risk, further adding to the precious metal’s upside.
There is a lot of shopping during Diwali
In India, around Diwali, there is a lot of purchasing of not only gold but all precious metals. This year Diwali is just three weeks away. This has also been a tradition. Traditionally, buying gold during Diwali is considered auspicious, symbolizing prosperity and wealth.
Prices may rise
Jigar Trivedi, Senior Research Analyst – Currency and Commodities at Reliance Securities, says, ‘Given the sharp rise in gold prices over the last few years, a technical correction is possible. But, overall market sentiment remains strong. Any significant decline can be seen as a buying opportunity. The last quarter of the year 2024 will be important.
Uncertainty even due to US elections
If tensions increase in West Asia, gold prices may rise. Similarly, ongoing speculation about a slowdown or recession in the US economy could push the yellow metal even higher, he says. He said that uncertainties regarding the results of the US elections also increase the possibility of a rise.
What is the price of gold today?
Gold December futures opened flat in MCX today. Today the rate of gold per 10 grams was Rs 75,153. This is 0.01 percent or eight rupees less than yesterday. Silver December futures contract was trading at Rs 80,085 per kg today. This is 0.4 percent or Rs 356 higher than yesterday’s price.
(Disclaimer: The recommendations, suggestions, views and opinions given by experts are their own. These do not represent the views of Navbharat Times)