look news india
Mumbai: The global gold price of the current year has reached its highest level in 45 years due to geopolitical tensions in the Middle East countries and the possibility of further interest rate cuts by the Federal Reserve in the United States.
International gold prices have increased by 32.50 percent so far in 2024, which is the highest increase since 1979. An increase of 37.50 percent has also been seen in silver. Domestically, gold on MCX rose 23.60 per cent and silver rose 32.90 per cent, the highest since 2020, an analyst said.
Apart from the war situation in the Middle East countries and interest rate cuts by the Federal Reserve, massive investment in gold ETFs and continuous purchases of gold by the world's central banks have also supported gold prices.
Industrial demand for silver is expected to increase due to economic recovery in China. China has added 29 tons to its gold reserves in 2024, which is 16 percent more than in 2023.
Weakness in the US dollar has also been a reason for the strength in gold prices. Global fund houses start investing in safe investment assets like gold in case of weakening of the dollar. The analyst said festive demand for gold in India is also supporting prices. The global price of gold is currently $ 2718 per ounce while silver is $ 33.09 per ounce.
