Quote from Dr. Saurabh Gadgil, PNG Jewellers on gold hitting all time highs

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By Dr.  Saurabh Gadgil, Chairman and Managing Director, PNG Jewellers

Gold has crossed the INR 50,000/10 grams barrier for the first time, reaching highs of INR 51,500/10 grams. This is on the back of a surge in gold prices in the USA market overnight which scaled to $1850/ounce. All-time highs in the USA market are currently at the $ 1930/ ounce level. The value of gold scaled these highs during the last financial crisis in 2008 in the USA market. This time around, the world faces challenges on the health, financial as well as the geopolitical front, thereby pushing the value of gold higher and higher. I think gold will leave behind all previous highs this time around. Investments in gold look positive to bring high returns over a 2 to 3-year timeline. On the other hand, we have seen a sharp rise in prices of Silver as well, crossing all-time highs of INR 60,000/kg.

There has been a sharp rise in the demand for Physical Gold and ETFs from Fund houses and large investors taking big positions in gold and silver. It is phenomenal to know that 450 tonnes of silver and approximately 8 tonnes of gold bookings have happened overnight. This kind of hurried investment was never before seen in Gold or silver. This being another reason for the spurt in gold and silver prices. Uncertainties on global growth, trade wars, increase in coronavirus cases across the globe are all reasons propelling the price of precious metals upward. This trend is likely to continue!

About Neel Achary 19652 Articles
Neel Achary is the editor of Business News This Week. He has been covering all the business stories, economy, and corporate stories.