Gold saw ups and downs on 3 February. The first Commodity Exchange MCX showed softening of gold futures. However, after a weakness in the US dollar, there was a good purchase in gold. Due to this, the price of gold in MCX reached Rs 82,815 per 10 grams. Gold in MCX has reached this level for the first time.
Gold climbed due to sliding dollar
Commodity and currency head Anuj Gupta in HDFC Securities said that initially the dollar firmly gold (Gold) I saw softening. However, the dollar could not stand at the highest level of two years. Shopping in gold increased due to weakness in dollars. Weakness in dollars makes it cheaper to buy gold in foreign currency. Experts say that the effect of dollar ups and downs will be seen on gold.
Dollar gained increase in US tariffs
In the US, President Donald Trump had increased the dollar on 3 January due to tariffs on Canada, Mexico and China. Due to this, gold prices fell by about 1 percent. Spot gold fell 0.9 per cent to $ 2,776.05 an ounce. The US Gold Futures also saw softening. It had come to $ 2,820.80 an ounce with a weakness of 0.9 per cent.
Gold can go up to $ 3000 an ounce
On 1 February, Donald Trump announced 25-25 per cent tariffs on Canada and Mexico and 10 per cent on China. Its impact was shown on the stock markets around the world along with dollars and crude. The Asia stock market, including India, opened with weakness on 3 January. Experts say that if the trade war increases, then gold can be seen in gold. City has expected the gold prices to reach $ 3,000 an ounce.
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Gold is expected to continue to rise
Analysts say that Canada and Mexico have put tariffs on the US import in retaliation. China is also expected to do so. If the tariff war increases, then its effect can be seen on many commodity prices including gold. India is the second most consumer of gold in the world. Gold is considered the safest asset for investment. Gold accelerates when there is upheaval in the world.