Gold price to increase by Diwali

Due to the increasing gold prices in spot market, there is a strong belief among the bullion traders and the analysts that the gold price per ten gram may cross a high of Rs. 32,000 by Diwali. US Economic data suggests that US Federal Reserve may not raise the interest rates.

All eyes on Diwali which falls on October 29, where the gold rate is expected to cross over Rs. 32,000 per 10 gram. As per the sources, India is expected to import gold which would measure around 750-850 tonnes this year.

Analyst feel that even if there is price hike, things may work in favour of the metal with depreciation in the INR as demand for USD would arise due price hike and subsequently raise the price of the imported gold.

The market in eastern part of India has reacted to the demand of gold and the gold demand has started picking up in these areas at most of the retail jewellery stores.

The people in the eatern part of India has become aware that the rate of gold will not fall below Rs. 30,000 in near future and hence showing interest in buying of gold as the prices of gold may rise on the arrival of the festive season where the demand for gold may increase.

The seventh pay commision award to the government employees has made demand of gold even more higher.

This article was posted on 08-Sep-2016.

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International Gold Prices

Metal USD SGD INR GBP EUR Updated On
Gold 1,282.35 / 1oz 1,785.29 / 1oz 85,764.08 / 1oz 1,024.98 / 1oz 1,025.50 / 1oz February 21, 2018