1. Bought Gold purely for investment purposes
Yes, Gold has fallen 11% since last year’s Akshaya Tritaya.
- Inevitable hike in interest rates by US Fed could lead to less interest in gold
- Bounce back in economies of Europe could lead to money shifting away from Gold
- Lower expected Inflation rates in India could reduce Gold demand
- Lower demand by the Other BIG importer, i.e, CHINA could impact Gold prices negatively
- Mandatory declaration of PAN NUMBER for purchases of Gold above Rs.1 lakh could make people hesitant to buy Gold in bigger quantities affecting volumes and hence prices.
- Possible removal or reduction of Gold import duty (presently 10%) could reduce Gold Prices going forward
- There is an Adhik ASHADA masa this year, meaning an extra month of ASHADA wherein NO weddings are conducted. 2 months of low or NIL demand from one of the BIGGEST markets for Gold
- Continuing weakness in Crude Oil could also negatively impact Gold Prices
Image courtesy : Jagran