Shining outlook for gold in 2023

Shining outlook for gold in 2023
Shining outlook for gold in 2023 IANS Updated: February 19th, 2023, 13:55 IST in Business 0 Share on Facebook Share on Twitter Share on WhatsApp Share on Linkedin Chennai: As in 2022, gold is expected to log double digit gains this year as per indications, said experts. “The yellow metal has already posted over three per cent gains in the month of January, 2023. The current setup seems to indicate a re-run of 2022.
Gold seems to be poised to open a new chapter in term of its price trajectory,” Emkay Global Financial Services said in a report. According to Quantum Mutual Fund report, gold started the new year on a cheery note, up about six per cent in January in dollar terms and about four per cent in rupee terms. Underpinning the rally was annual inflation in the US slowing for a sixth straight month to 6.
5 per cent in December, raising hopes of smaller rate hikes from the Federal Reserve in Q1’23 and rate cuts later in the year, Quantum Mutual Fund said. In the last year, gold purchases in the international markets were about 4,000 tonne of which 1,400 tonne took place in the last quarter, said Emkay Global. Apart from institutional buying, jewellery demand in China revived with the Covid restrictions being relaxed there.
China is one of the biggest consumers of gold, accounting for over 30 per cent of global jewellery demand, Emkay Global said. “The yellow metal benefitted from a softer USD environment and lower US Treasury yields. Physical demand from China during the Lunar New Year celebrations, central bank gold buying and increase in net long positioning in gold by global money managers also supported prices, a Quantum Mutual Fund said.
The general expectation that there will be a slowdown in economic activity in the major economies also is helping gold though the high inflation never propelled gold to higher levels, said Emkay Global. In India, with a duty cut now out of the picture for the foreseeable future, down moves in gold on account of that are no longer expected. But prices could see some headwinds from developments on the US monetary policy front.
Investors can stagger their purchases over the next few months to build their gold allocation, Quantum Mutual Fund said. IANS Tags: Gold market OUTLOOK Share Tweet Send Share Suggest A Correction Enter your email to get our daily news in your inbox. Leave this field empty if you're human: Related Posts Domestic ESG-focused firms performed better than global peers in price volatility, equity returns: RBI study February 19, 2023 Tur dal prices to go up as production constraints pull down supplies February 19, 2023 Global tech industry, supply chain disruptions continue amid recession fears February 18, 2023 Were LIC and SBI instructed to invest in Adani Enterprises FPO despite stock crash? Cong asks govt February 18, 2023 Entire Rs 16,982 crore GST compensation cess to states to be cleared: FM February 18, 2023 GST Council reduces tax on liquid jaggery, pencil sharpeners February 18, 2023 Leave a Reply Cancel reply Your email address will not be published.
Required fields are marked * Comment * Name * Email * Website Save my name, email, and website in this browser for the next time I comment. Δ.