The effect of the strength of the dollar index and reduced demand for gold is now visible in the market. After November 5, the price of gold in the country’s market has fallen by Rs 3500. And the price has reached the level of Rs 75 thousand. At the same time, the price of silver has also fallen by more than Rs 6300.
The dollar index has been continuously strengthening since Donald Trump’s victory. The effect of which is being seen from the international market to the local market. As far as the domestic market is concerned, gold prices have fallen by 4.44 percent since September 5. On the other hand, the price of gold has declined by 5 percent in the international market. Experts estimate that the dollar index may touch the level of 107 by the end of the year. This means that there will be more pressure on gold prices in the international market and gold can reach up to $2300 in the international market.
This means that the price of gold in the futures market of India can be seen at the level of Rs 70 thousand. On the other hand, experts say that there is no other reason visible for the increase in gold prices. There is no possibility of increase in demand in the international market or domestic market. Due to this, the price of gold can reach the level of Rs 70 thousand by the end of the year. Let us also tell you at what level gold prices are being seen at present and at what level gold prices can be seen in the coming days.
Gold prices are continuously falling in India
Gold prices are continuously falling in the country’s futures market Multi Commodity Exchange. Since November 5, gold prices have seen a decline of 4.44 percent. If we look at the data, after the market closed on November 5, the price of gold was Rs 78,507 per ten grams. Since then, the price of gold has fallen by about Rs 3500. Due to this, the price of gold on MCX reached the day’s low of Rs 75,020 per 10 grams on Tuesday.
However, today i.e. at 12:30, the price of gold is trading at Rs 75,112 per ten grams, down by Rs 239. While this morning gold was priced at Rs. Opened with 75,541. After the market closed a day earlier, the price of gold was Rs 75,351 per ten grams. According to experts, the price of gold may fall further in the coming days.
Gold has become 5 percent cheaper in the international market
On the other hand, the price of gold has declined by 5 percent in the international market. Especially after 5th November. A huge fall has been seen in the futures prices of gold in the Comex market of New York. According to the information, after the market closed on November 5, the price of gold was seen around Rs 2750. Since then it has lost $137. That means a decrease of about 5 percent has been observed.
Gold prices are currently trading at $ 2,614.35 an ounce with a slight fall of about $ 4. Whereas during the trading session the price of gold reached the level of $ 2,610 per ounce. According to experts, there is a possibility of further decline in the price of gold.
As demand for gold decreases, it will become cheaper
The biggest enemy of gold prices has been the dollar. It was believed that the dollar would strengthen after Donald Trump’s victory. This is what is being seen. The dollar index has seen a rise of 2.21 percent in the last 5 trading days. In such a situation, you can imagine what effect Trump’s victory would have had on the dollar. More strength may be seen in the coming days.
If we talk about today i.e. the present time, the dollar index is seen trading at the level of 105.71, during the trading session the index touched the level of 105.75. In such a situation, it is estimated that the dollar index may soon cross its 52-week high. Which is 106.52.
Will gold reach Rs 70 thousand?
Experts believe it will depend on the dollar index? Most experts believe that the dollar index may reach the level of 107 by the end of the year. Due to which further pressure may be seen in gold prices. If the dollar index goes to the level of 107, then the price of gold in the international market can go up to 2400 to 2300 dollars. Due to this, the price of gold on India’s MCX can even reach the level of Rs 70 thousand. Anuj Gupta, Head of Currency Commodities, HDFC Securities, said that the ongoing fall in gold prices is due to the fall in the dollar index and demand. The dollar index will remain under watch in the coming days.