 "Festive demand, uncertain investment climate push gold prices towards new record")
Gold is inching towards breaching its lifetime record set in October 2013, aided by jewellers’ buying for upcoming festivals.
Standard gold rose Rs 80 in Mumbai’s popular Zaveri Bazaar to trade at Rs 31,650 for 10 gm on Saturday. Gold had set a record of Rs 31,950 for 10 gm in October 2013. If the current trend continues, the record is likely to be broken in the upcoming festival season. Gold prices have surged 26 per cent so far this calendar year on the back of recovery in investment in the yellow metal as well as an uptick in jewellery demand.
“Gold has seen a sharp upsurge in demand on a sudden jump in Japanese yen against the dollar. Crude oil prices have also increased over the past few months. With the investment buying continues, gold is seen touching $1,400 an oz in global markets setting a new record in the near future,” said Prithviraj Kothari, managing director, RiddiSiddhi Bullions.
Gold price is nearly $1,341 an oz in London. Gold is getting a safe-heaven buying demand in global markets over US Fed’s delay in interest rate revision. Rising gold prices have increased the sale of scrap jewellery in the physical markets. But, in the absence of fresh consumer buying, jewellers are deferring purchase of used jewellery.
“Gold might breach its previous record and set its new one of Rs 32,500 per 10 gm by December on fresh festival buying, which has started in India,” said Kumar Jain, director, Umedmal Tilokichand Zaveri, a bullion dealer in Zaveri Bazaar.
According to Jain, gold recovered through processing of scrap jewellery is rotating in local markets resulting into a sharp decline in imports.
Silver also moved up to trade at Rs 46,530 a kg from the level of Rs 33,630 a kg on January 1.
Standard gold rose Rs 80 in Mumbai’s popular Zaveri Bazaar to trade at Rs 31,650 for 10 gm on Saturday. Gold had set a record of Rs 31,950 for 10 gm in October 2013. If the current trend continues, the record is likely to be broken in the upcoming festival season. Gold prices have surged 26 per cent so far this calendar year on the back of recovery in investment in the yellow metal as well as an uptick in jewellery demand.
“Gold has seen a sharp upsurge in demand on a sudden jump in Japanese yen against the dollar. Crude oil prices have also increased over the past few months. With the investment buying continues, gold is seen touching $1,400 an oz in global markets setting a new record in the near future,” said Prithviraj Kothari, managing director, RiddiSiddhi Bullions.
Gold price is nearly $1,341 an oz in London. Gold is getting a safe-heaven buying demand in global markets over US Fed’s delay in interest rate revision. Rising gold prices have increased the sale of scrap jewellery in the physical markets. But, in the absence of fresh consumer buying, jewellers are deferring purchase of used jewellery.
“Gold might breach its previous record and set its new one of Rs 32,500 per 10 gm by December on fresh festival buying, which has started in India,” said Kumar Jain, director, Umedmal Tilokichand Zaveri, a bullion dealer in Zaveri Bazaar.
According to Jain, gold recovered through processing of scrap jewellery is rotating in local markets resulting into a sharp decline in imports.
Silver also moved up to trade at Rs 46,530 a kg from the level of Rs 33,630 a kg on January 1.