In the months April to June 2011, India and China have accounted for 52% of Global bar and coin investment and 55% of global jewellery demand. Year on year the volume growth in India has been 38% as against 25% in China and 7% globally. As per a report from the World Gold Council the prospects for both the countries for the remainder of the year remain optimistic.
From April to Sept 16, 2011 as seen in the above chart, the rates of Gold has seen ups and downs but the trend line clearly shows the way ahead. As can be seen from the chart, the rates were below the trend line, but went suddenly northwards and rather went overboard.
The prices have now shown some correction and are on the trend line, giving the right opportunity to get into the commodity, if you are not already.
The reasons stated for an optimistic performance of Gold in India include
- Relative economic prosperity
- High Inflation Rates
- Good Monsoon
- Number of forthcoming festivals in which gold purchasing is customary
It is expected that the central banks shall remain net buyers of gold throughout the remainder of 2011.
Summing it up :--
No comments:
Post a Comment