At Rs 62,000, gold hits new excessive – Occasions of India

Mumbai: Two days after gold prices hit a six-month high in the international market, the yellow metal crossed Rs 62,000 per 10 gram in India.
For the first time, gold was trading around Rs 62,250 at Mumbai’s bullion centre. Market players said several global and domestic factors including dollar weakness against some major currencies, sharp fall in US gilt yields and higher demand during the ongoing wedding and festive season are supporting gold prices. ,

Official data shows that in the domestic and international markets, the price of the yellow metal has increased by more than 10% in the last two months. Technical analysts said this could lead to some gains from current levels in the short term. ,
According to Rahul KalantriVP, Commodities, Mehta EquitiesThere are at least five reasons for the current rise in gold. For one, the dollar index – a measure of the greenback’s relative strength against six major currencies – has fallen sharply over the past few weeks. Second, US government bond yields have also fallen sharply from nearly 5% (a 17-year high) in just one month to now below 4.3%. Again, there are expectations that the US Federal Reserve will continue to raise rates It’s already over and the first rate cut could happen as early as mid-2024.
Along with strong demand on the domestic front reserve Bank of IndiaKalantri said the gold buying operation is supportive for its price.