MCX
Gold has remained shining forever
Gold has been shining brightly since covid pandemic. It has been moving up & up from its low of $1451 in March 2020 and now it has crossed $2550. It means gold has increased $1100 during the last four and a half years. Since the pandemic has proven the gold investment is the safest investment; people, banks, institutions all over the world have been accumulating gold aggressively. Besides they expect US interest rate cuts this year. It may make a new high of $2600 by September 2024. The fall in gold prices may be temporarily due to profit booking by some individual investors. Technically, it has crossed all the barriers. It is also very strong in its monthly chart. The shining of gold will glitter forever. Keep on accumulating.
Luster of industrial metals decreased
Industrial metals are losing luster following the ongoing slowdown in China and the US. After a brief surge, industrial metals prices are back down. Copper, nickel, zinc are not in demand. As long as the clouds of recession in China and the US remain, industrial metals do not seem to be returning to their luster. Such a situation may remain until the next election to be held in America. After the election results, the shine can be seen again.
Black gold has become cheaper
Crude prices have fallen sharply due to the slowdown in China and the US. Crude price is running at an 18-month low. The consumption of crude oil has decreased due to the ever-increasing use of green energy. Crude has hit its lowest level of the year 2024. Crude prices have fallen sharply despite OPEC countries postponing a decision to increase crude production. The sharp drop in crude prices is signaling an impending global recession. Due to the ongoing recession in China, the production of goods has decreased. Crude prices can rise only if the demand for the goods arises soon and production starts.
Name : Azad Kotecha (SEBI Certified Research Analyst)
Registration Number : NISM-202400058179