Important turning points characterized the gold price surge. Prices hit ₹76,410 per 10 grams on July 18 and then sharply increased to ₹81,740 on October 31 due to currency changes, the ongoing de-dollarization process, and worries about global inflation.
December 30, New Delhi, India (ANI): A remarkable 20.3% increase in gold prices in 2024 solidified the precious metal's position as a favored safe-haven investment in the face of world unpredictability.Although there were sporadic corrections, gold saw substantial upward momentum from January 1 to December 30, rising from ₹65,220 per 10 grams of 24-carat gold to ₹78,440.
Important turning points characterized the gold price surge. Prices hit ₹76,410 per 10 grams on July 18 and then sharply increased to ₹81,740 on October 31.caused by the continuous de-dollarization trend, currency fluctuations, and worries about global inflation.
A number of variables, such as shifting foreign exchange rates, inflationary pressures, and geopolitical uncertainty, supported gold's rise.
Although the "war premium" on gold momentarily decreased as geopolitical tensions subsided, ongoing worries about inflation and changes in global financial trends kept the commodity in the spotlight.
Despite recent price corrections, gold remains a popular investment, according to Dr. Saurabh Gadgil, Chairman and Managing Director of PNG Jewellers. The "war premium" has decreased as geopolitical tensions have subsided, but gold remains a popular safe haven due to rising inflation, volatile currencies, and the worldwide de-dollarization movement.
He continued, "Looking ahead, while short-term fluctuations are inevitable, the long-term fundamentals remain strong, and strategic buying during dips will yield favourable returns."
Because of a stronger U.S. dollar and decreased market activity during the holidays, gold prices have entered a phase of consolidation as the year comes to an end.
"Gold prices are likely to see continued consolidation this week amid lack of fresh triggers as major participants are still away due to the international market's new year holiday," said Pranav Mer, Vice President, EBG-Commodity & Currency Research at JM Financial Services Ltd. "While upside in the bullion limited due to higher dollar that is trading near 108-levels."
"This week, there will be a focus on manufacturing PMI data from various regions," he continued. With prices trapped between their long-term moving averages—the 50-day SMA at 76860 and the 100-day SMA at 75080 (cmp 76650)—the chart's momentum appears sideways.
The fundamentals that underpin gold are still strong, notwithstanding transient swings. According to analysts, gold will continue to rise in 2025, with long-term gains possible through well-timed purchases made during market declines.
Because of a stronger U.S. dollar and decreased market activity during the holidays, gold prices have entered a phase of consolidation as the year comes to an end.
"Gold prices are likely to see continued consolidation this week amid lack of fresh triggers as major participants are still away due to the international market's new year holiday," said Pranav Mer, Vice President, EBG-Commodity & Currency Research at JM Financial Services Ltd. "While upside in the bullion limited due to higher dollar that is trading near 108-levels."
"This week, there will be a focus on manufacturing PMI data from various regions," he continued. With prices trapped between their long-term moving averages—the 50-day SMA at 76860 and the 100-day SMA at 75080 (cmp 76650)—the chart's momentum appears sideways.
The fundamentals that underpin gold are still strong, notwithstanding transient swings. According to analysts, gold will continue to rise in 2025, with long-term gains possible through well-timed purchases made during market declines.
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