Gold price today: For the last few days, silver prices have steadily rising. On Wednesday (June 18), there was a sharp jump in the silver price. However, gold prices continued to fall despite increasing tension in the middle East. Let us know from experts what is the reason for the record breaking boom in the silver price. At the same time, why is the softening in gold, despite increasing geopolitical tension.
Silver set a new record on MCX
The July delivery silver futures today touched a new all-time high of ₹ 1,09,748 per kg on MCX (Multi Commodity Exchange), which breaks the old records made yesterday. This derivative contract is now trading up your all time from ₹ 88,050 per kg. In addition, the September delivery silver futures also recorded the highest level of ₹ 1,11,000 per kg.
Gold futures continue to fall
On the other hand, there was a decline in gold contracts on MCX. The gold futures with August delivery fell by about 0.2% to ₹ 99,329 per 10 grams. This decline has come at a time when Gold Futures crossed the historical level of ₹ 1 lakh per 10 grams for the first time a few days ago.
Fast fall in gold-silver ratio
A major change was also seen in the gold-silver ratio. This ratio suggests how many ounces of silver are needed to buy an ounce gold. Now this figure is around 91, while in April and May it remained above 100. The ratio has decreased due to a rapid rise in silver prices and fall in gold prices.
What to expect next?
According to Jatin Trivedi, Vice President of LKP Securities and Commodity Research Analyst Jatin Trivedi, “Gold prices are currently in limited scope as Investors are waiting for the policy meeting of the US Federal Reserve, which is to be 11:30 pm on Wednesday night.”
He reported that the three main macro factors affecting the market are these- the decision on the interest rate of the US Fed, increasing geopolitical tension between Iran and Israel, progress in global trade talks. Trivedi says that these reasons are expected to increase instability and determine the direction to sleep. In the near future, the prices of gold can remain in the range of ₹ 98,500 to ₹ 1,00,500 per 10 grams.
Tata Mutual Fund’s opinion on gold
Tata Mutual Fund has a positive stance on gold. This said, “We do not see much likely to fall in gold. If prices come down, it can be understood to be a chance to shop. The Central Bank’s frequent purchase and American Fed’s stance will give gold to Gold as a strategic asset for a long time.”
What is outlook on silver
The Tata Mutual Fund believes, “Silver prices may remain strong in short term as gold-silver ratio is favorable and fundamentals are also supporting. Silver is an emerging growth story and its trend will mainly depend on comprehensive recovery in industrial demand. The price of prices can be considered an investment opportunity.”
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