Good News! Gold prices fall over Rs 11,000 from all-time high

Gold is considered to be the biggest help during difficult times. During the Corona crisis, gold showed this saying to be true. In the year 2020, those who put money in gold made huge profits. Gold Prices closed at the highest level of Rs. 57,008 per 10 grams on 7 August 2020 in Delhi Sarafa Bazar. From that point onwards, the cost of gold has fallen by Rs 11,409 till Friday 26 February 2021. Simultaneously, silver was at Rs 77,840 for each kg on August 7, 2020, which has been decreased by Rs 10,421 to Rs 67,419 on Friday. Now however, due to falling prices every day, most of the investors are wondering whether they should invest in gold or wait for something else. At the same time, some investors are confused about selling or holding the gold they haveAjay Kedia, Director, Kedia Advisory, said that even as bullion costs dropped in Tuesday’s meeting, assumptions for expanded mechanical interest have been restricting further misfortunes.

Gold price on March 1, 2021 in Delhi:

•   22 carat gold price – Rs 44810
•   24 carat gold price – Rs 48910
•   Silver price – Rs 67510

There is also a large section of investors, who want to know whether it will be safe to invest in gold at current prices. Can they take advantage of this opportunity and make a strong profit? On this, Surendra Mehta, National Secretary of the India Bullion and Jewelers Association (IBJA) recently said that there are many reasons for the fall in gold prices. The biggest reason of these is the dollar being stronger against other big currencies. According to him, the US dollar and gold behave unlike each other. If the demand for the dollar increases, then the price of gold will come under pressure. At the same time, due to the increase in American Bonds Yield, prices of gold have also come down.

Chirag Mehta, senior fund manager at Quantum Mutual Fund, has said that the major reason for the decrease in gold prices is the increase in the US Benchmark Bond Yield. The benchmark bond yield has shocked the market. In August last year, where it was at a low level of 0.6 percent, now it has more than doubled to 1.37 percent. Due to this, there has been a fall in the prices of gold. However, he does not think that this situation will remain for long. If the yield increases again, the central bank will intervene. Gold will be supported again by this. Experts believe that the price of gold is set to increase in 2021. Also, 7-10 per cent of gold brings diversification in your investment portfolio.