The attraction towards gold has been there for a long time. People have been investing in gold all over the world. It is considered a safe means of investment. After reaching record highs in August, the price of gold has dropped a lot at this time. In August this year, the price of ten grams of gold crossed the level of 56 thousand, which is currently going on around 48 thousand. In such a situation, there is a doubt in the minds of investors that this is the right time to invest in gold or should wait for some more time.
According to an estimate, up to one thousand rupees per ten grams can be seen in gold within a month. A golden formula for investing is that buy cheap and sell when expensive, according to this formula, see what is the right time to invest in gold
Gold declines due to increasing economic activity
Economic activity worldwide had declined due to the Corona epidemic. Economic expert Dr. Ravi Singh says that now things are slowly improving. Due to this, the expectations of people are increasing and investment in options like mutual funds and SIP is increasing. In such a situation, the equity market is seeing a boom and gold is showing a decline.
News of arrival of Corona vaccine dropped prices
Due to Corona epidemic all over the world, there was an atmosphere of economic uncertainty and people increased investment in gold as a safe investment. However, with the news of the vaccine coming, a stable economy environment is being created among the people and as a result investment towards the non-gold equity market increased.
Decline due to reduced demand in marriages
Gold demand increases in weddings season because we have a tradition of giving gold ornaments at weddings. However, this time due to the Corona epidemic, gold jewelry is in demand. One reason for this is also economic and the other reason is infection. Due to reduced consumption of gold intensive, the sale of gold decreased and its price was not supported.
Gold profit booking after US election
Due to the presidential election in America this year there was an atmosphere of uncertainty. In such a situation, people increased investment in gold as it is considered a safe investment. After the results of the US election, people started booking profits and as a result, the price of gold declined. Apart from this, Anuj Gupta, Deputy Vice President (Commodity and Research), Angel Broking, said that the US bond yield has gone up, due to which people are attracted towards investing in bonds and gold prices declined.
Possible to fall by 1 thousand in a month
Experts believe that the way the economic activities are increasing in the market, it seems that in this situation, by the end of the year, the price of gold per ten grams can show a level of 47 thousand. However, if there is any delay in getting the vaccine due to any reason, then the price can be seen once again.