Gold to shine brighter; risks in equity, weddings keep prices elevated

NEW DELHI: Equity market risks along with healthy demand from wedding season will push gold prices higher in the near-term, analysts said.

Lately, gold prices, both in domestic and global markets, have risen steadily due to favourable broader market fundamentals.

Accordingly, the last traded price of gold at the Multi Commodity Exchange of India (MCX) was Rs 49,159 per 10 gm.

According to the India Bullion and Jewellers Association, the spot prices for pure gold stood at Rs 49,240 per 10 gm in the domestic market, which excludes GST and making charges.

"Demand for gold with the onset of the marriage season in India is expected to keep its prices elevated," said Anuj Gupta, Vice President at IIFL Securities.

"Inflationary concerns, coupled with uncertainty in global equity markets are supportive for safe haven products such as gold," he added.

At present, India is a major user and importer of precious metal. In volume terms, the country reportedly imports 800-900 tonnes of gold annually. (IANS)

Also Read: Gold Declines By Rs 0.15 Percent; Silver falls By Rs 208

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