Unbiased bounce in gold prices: Prices rebound after breaking $40

- Boolean Bits - Dinesh Parekh

- Indications are that new sales will slow down as seasonal demand rises amid falling prices in jewelery markets across the country.

With the news of rising inflation in the market in America, the dollar index rising, Fed President Powell will be relaxed in the trend of reducing the interest rate and indicating that the interest rate will not be reduced before June, influenced the price of gold and the price of gold decreased by 40-40 dollars per ounce, gold on Thursday 1986 dollars. The price per ounce started to be quoted. However, after that the price increased again to 2000 dollars.

The government of Zimbabwe will introduce a new currency pegging its currency to gold backing. But the finance minister did not mention the period when he will issue the new currency with the above mentioned gold backing. At present, the exchange rate of the currency JWE is 20,000 local currency to 1 US dollar, the financial condition of his country has deteriorated and they are now trying to stabilize the new currency with the help of gold.

China has bought 10 tonnes of gold this month and has been increasing its reserves by buying gold continuously for the past fifteen months and this purchase will not allow gold prices to fall much. At the beginning of the new year in China, with the property market collapsing and the stock market collapsing, funds, investors have adopted an attitude towards gold and have come to buy gold at every price.

Rising oil prices The global financial situation has worsened as the war between Hamas- Israel, Russia and Ukraine continues and the attacks on ships in the Red Sea have made the movement of goods more expensive and the prices of everything in the global market have risen, resulting in inflation as people have less money to buy gold. Impact on demand.

The current gold prices are the lowest quoted prices on December 13. A sign that the market will support the Fed's interest rate cut in June has seen bearishness in gold. But palladium prices bounced off the bottom and traded up 7.43 percent to trade at $922 an ounce. Senior strategist Bobby Haber-Cohn says gold will hit around $2,000 an ounce and the Fed will consider easing interest rate cuts in June, leaving aside the seriousness of interest rate cuts. 500 workers have been trapped in containers and several heavy vehicles have been heavily damaged after a rock collapsed in Turkey's gold mine.

It should be noted that 829000 ounces of gold have been delivered in the vault last week. Overall, the supply of gold is getting enough against the demand, so gold will see bullish and bearish shocks and gold will hit around $2000 per ounce.

Due to the weakness of global gold in the domestic gold market, the price of gold in the jewelery market was reduced by Rs.700 per ten grams.

As the price softened, sellers of old gold jewelery have started to take a more patient attitude and wait for the price to rise without selling the jewellery, and while there has been a slight break in the income of old gold, demand has picked up again in the showrooms and the purchase of new gold jewelery has increased as the prices are quoted lower.

The Reserve Bank has said that it has allowed over-the-counter hedging of gold prices. As hedging leave in OTC market is given leave for settlement in international services, the risk in gold price will be reduced significantly and trade will increase.

Although gold prices are falling, smuggled gold is coming in regularly and smugglers are active. Importers order gold at every price by fixing the dollar-rupee exchange rate.

Gold contracts are quoted at Rs.61,450 per ten grams and Rs.62,900 per ten grams in bills without gold.

There is no scope for further decline in gold as there is a demand for gold due to marriage. In the local silver market, there has been a surge in silver prices and futures for the last five to six days. In the last two weeks, silver prices have come down from 2320 cents to 2217 cents. The shocks of price volatility have benefited investors and traders are making morning-evening profits by short-selling silver while buying silver at low prices to build up stocks.