Market

Gold to traverse a new path in 2019

Gold is now sustaining above the tolerable level of 1200 USD per ounce. The global spot gold prices usually range from 1200 and 1245 USD in the recent weeks. Though the price had dropped to 1211 USD initially, it has started picking up and stands at 1220 USD (recovering much of the loss).

A convention by the Organization of the Petroleum Exporting Countries (OPEC) on 29 November and the US Non-farm Payroll statistics announced the next day is expected to keep the market fluctuations high this week.

In India, the strength in the rupee manages to retain the pressure on the gold and silver futures contract on the Multi Commodity Exchange (MCX). The rupee broke over 70 against the dollar and rose by 1.5% by the end of November. The MCX-Gold dropped by .84% at the same time.

The US dollar index (97.27) was varying from 96.6 and 97.5 a week ago. The index was maintained above 96 last month. It couldn’t manage a steep jump – the main hurdle being near 97.5 at present. A sharp break above this obstacle (at least higher to 98) is the need of the hour.

A break beyond 98 can then escalate the possibility of the index targeting 98.8 and 99 in a short period. Then again, if the index cannot cross 97.5, it can remain between 96 and 97.5 for some more time. How this will impact the gold price in India in 2019 is yet to be seen.

Share

Recent Posts

Mutual Funds: SIP Inflows Breach Rs 19,000-Crore Mark for the First Time in February ’24

The systematic investment plan (SIP) contribution in February 2024 has crossed a new milestone. The monthly contribution tipped at Rs…

9 months ago

Income-Tax Return: A Brief Note on Annual Information Statement (AIS)

The Income-Tax (I-T) Department has directed taxpayers to access the Annual Information Statement (AIS) via the e-filing official portal and…

9 months ago

Mutual Funds: All About SIP and Market Fluctuations

Considering the vagaries of the stock market, investors often ponder over reevaluating their strategies. Whether to continue to remain invested…

9 months ago

Income-Tax Saving Through Strategic Life Insurance Planning

Financial planning is beyond just investing wisely to save on taxes; it's also related to protecting oneself and one's loved…

9 months ago

Income-Tax Return: Here’s a Note on Tax-Saving Avenues

A salaried individual earning up to Rs 5-15 lakh as net salary on an annual basis must first take stock…

9 months ago

A Quick Take on Equity-Linked Savings Scheme

Equity-linked savings schemes (ELSS), also referred to as tax-saving schemes, are equity funds that invest a significant portion of their…

9 months ago