InvestorQ : Do you see gold prices going up further from current levels?
sarah Leo made post

Do you see gold prices going up further from current levels?

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vidhya Laxmi answered.
1 year ago
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Gold prices are still ruling buoyant at Rs.45,476 per 10 gram in India on safe-haven demand. The gold price, normally considered a safe haven asset, has seen some aggressive buying after disappointing economic data from the US and China. The sharp spike in US joblessness will only add to the demand for gold. On the international markets, spot gold has been trading at around $1750/oz; around 10% lower than its all-time peak of September 2011. Gold is already up 12% YTD and the rally is expected to continue. Some estimates by Morgan Stanley and Goldman have pegged the global price of gold at $3000/oz by end of 2021 and the corresponding price in India at closer to Rs.82,000/10 grams. This bullish trend is mainly backed by the recession that the Coronavirus pandemic has brought leading central banks slash interest rates to near-zero levels. Even Hedge funds are now betting on gold as the best proxy to play stimulus packages.

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