Gold showed a boom on June 4. Economic Slodown signals and geopolitical tension affected gold prices. In the Commodity Exchange MCX, the gold futures rose by Rs 544 in the afternoon to Rs 97,069 per 10 grams. Gold also saw a boom abroad. Spot gold rose 0.6 per cent to $ 3,370.67 an ounce. The US Gold Futures were 0.5 per cent bouncing at $ 3,394.90 an ounce.
Gold is also getting support due to weakness in dollar
Experts say that Gold There are many reasons for the rise in prices. These include giopolitical tension, signs of lethargy in economic growth and weakness in the dollar index. Buying another currency becomes cheaper due to weakness in dollars. This affects the demand for gold. Senior market analyst Calvin Wong in Oanda said, “Dollar has returned to shop due to weakness.
Gold will get resistance at 99,500
Jatin Trivedi, VP of brokerage firm LKP Securities, said that there is a consolidation in Gold. However, the trend remains bullish. Gold is supported at Rs 95,000 per 10 grams. It will face resistance at 99,500. Akash Kamboj, Vice President of India Bullion Jewellers Association, said, “OECD has reduced the outlook of global growth. This has increased the glow of gold as a safe option for investment.” Gold prices in short term may continue. However, its outlook in the long term is strong.
What should you do?
Experts say that retail investors do not need to focus much on gold ups and downs. It is necessary to have gold in the investment portfolio. This is essential for diversification of portfolio. Financial advisors recommend keeping 10-15 percent gold in investment portpolio. This helps in reducing the loss of portfolio in a sharp decline in equity. If you do not have gold in your investment portfolio or it is very low, then you can use every opportunity to decline in gold for shopping.
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This is how you can invest in gold
Now many investment options in gold are available in the market. The first option is that of Gold ETF. Investments can be made at home. The second option is the gold schemes of mutual funds. For this, demat is necessary, while a demat account is necessary for investment in Gold ETF. The biggest advantage is that you can withdraw money whenever you want from gold ETF or mutual fund gold scheme. Investments can also be made through SIP.