Rising inflations coupled with gloomy global economy has seen gold prices raise by as much as 34 per cent in the last one year.Experts also say that the weakness of the US dollar against other major currencies like Euro, Japanese Yen and Swiss Franc too contributed towards the trend.Gold is usually used as a hedge against weak dollar and rising inflation. With the wind being taken out of both, inflation and the dollar, gold will have a good northward run for some more time," said a fund house chief added.
Ten years ago today gold was valued at $268 an ounce. One year ago today gold reached $1,200 and people were thrilled. Now it's above $1,770 and those in the know say it's not even close to the ceiling.
Three years ago we did the same story with him when, like today, stocks sank and gold spiked. And back then gold's high was $875 an ounce. If someone would have bought after that story they could have doubled their money.Some people are selling and gold buyers are busy. A couple brought in more than 400 grams of gold to Secured Gold Buyers at Ward Warehouse and walked out with more than $11,000.
Monday gold closed at Rs. 24,915 per 10g on the Multi Commodity Stock Exchange, up 15.27% since 1 July. This compares to a 9.05% correction in the equity markets and the current one-year fixed deposit rates of 9-9.5%.
Those who are planning to buy gold jewellery in the future could also buy it now, or even pay their jewelers now to lock in the price at current levels, market players said.
UAE Gold rate is not the same as gold rate Chennai today as the price differs from country to country and place to place. Check here the current gold rates in your city for further updates.
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