Gold price in the national capital on Friday declined by Rs 90 to Rs 52,915 per 10 grams, according to HDFC Securities. The precious metal had closed at Rs 53,005 per 10 grams in the previous trade, according to a PTI report.
Silver also dipped by Rs 374 to Rs 59,166 per kg from Rs 59,540 per kg in the previous trade. In the international market, both gold and silver were trading flat at USD 1,789 per ounce and USD 20.37 per ounce, respectively, as per the PTI report.
“Gold prices are stuck in range over hawkish US Fed and soft inflation numbers while the weaker dollar has capped downside,” said Tapan Patel, Senior Analyst (Commodities) at HDFC Securities.
Why gold should be a good investment bet for investors?
Gold has emerged as a valuable commodity for investors all across the globe for generations. Gold has been used extensively in the form of a currency. Gold has become a symbol of the wealthy and powerful in world history. The long-term value of the yellow metal specifies its consistency and demand throughout the time. Gold has already become one of the safest investment options for investors. It is because it can effectively recover its value when a country faces economic meltdown. The value of gold regularly changes in the reverse direction of the stock markets.
Whenever the investors’ confidence is dented, the prices of the gold surges as shocked investors desire a secure place. Whenever an economy faces inflation, gold becomes the safe haven as it can easily hold its value better than the other currency-supported assets that may surge in price but fall in value.
When you purchase gold, it is not the same as buying stocks or bonds. Everybody can obtain gold coins or gold bullion to grab physical ownership of the yellow metal. You can easily spot the purity level and amount of gold in the bar as it is stamped on it. The value of gold continues to vary throughout the day, and it will never remain the same. Its value is determined by the gold content of the item instead of its rarity or condition.
You can buy gold from several banks and brokerage organizations. You can also buy the precious metal from gold mining stocks, exchange-traded funds, or ETFs to invest securely. If you buy a gold-backed ETF, you are buying shares in a trust that possesses gold but they do not have any claim to the gold itself.
You can also invest in Digital gold as its popularity surges quite fast. Digital gold also provides you with the best of both worlds. By investing in digital gold, you can get exposure to the prices of gold without actually possessing the precious metal. You will also get alternatives to transform the gold into physical gold whenever any requirements arise.
You will come across plenty of gold-saving schemes handled effectively by several renowned jewelers. Here you may invest a specific amount monthly and get it redeemed into yellow metal jewelry at maturity. You can also avail some discounts too offered by the jeweler. This option has become highly beneficial for those planning to purchase jewelry in the coming period for marriage or other functions. It will allow you to start saving in gold in advance.
Many jewelers has already started providing online options for investing in these schemes where you will be able to invest from the comfort of your home.
Gold has emerged as a safe option for investment for scores of people all across the globe. It provides not only financial security but mental security as well.
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Story first published: Friday, August 12, 2022, 17:00 [IST]