Analysts fear massive pull back in gold after sharp rally past five months

The current rally in the yellow metal is without real demand from Indians

Gold prices at Zaveri Bazar, Mumbai’s physical market, increased 18.5 per cent in the current financial year and 14.5 per cent in the last two months. These are one of the highest returns in the yellow metal in the past few years. 

With international gold price crossing $1,500 per ounce (31.1 gram), the market has excited many analysts globally. But there are some worries about the speed at which gold prices have risen in less than five months.

The current rally is without real demand from Indians buying gold. When international prices rally and a country with around 15 per cent of