Gold futures fell in Indian markets today amid an increase in US bond yields. Gold futures on MCX fell by 0.4 percent to a 10-month low ie Rs 44,768 per 10 grams. Silver futures slipped 0.8 percent to Rs 67,473 per kg. In the previous session, gold had fallen 1.2 percent, ie Rs 600 per 10 grams, while silver had become cheaper by 1.6 percent, ie Rs 1150 per kg. After a strong rally in 2020, gold is under pressure this year amid a boom in equity markets and rising US bond yields. Gold has dropped over Rs 5,000 since the beginning of this year. This is down Rs 11,500 from the August 56 high of Rs 56,200.
Price is so high in global markets
In global markets, the price of gold hit a nine-month low during the previous session. Today it held steady at $ 1,711 an ounce. Among other precious metals, silver rose 0.4 percent to $ 26.18 an ounce, while palladium lost 0.3 percent to close at $ 2,343.52. Platinum was down 0.5 percent at $ 1,161.50.
ETF inflows reflect weak investor interest
Holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund or gold ETF, fell 0.4 percent to 1,082.38 tonnes on Wednesday. Gold ETFs are based on the price of gold and its price also decreases with the subsequent fluctuations in its price. The flow of ETFs reflects weak investor interest in gold. A strong dollar makes gold more expensive for holders of other currencies.
Government selling gold at 10 months' cheapest price
If you want to invest in gold then this is the right time for you. The central government has introduced the Sovereign Gold Bond Scheme. The 12th series of sovereign gold bonds has started from March 1 and you will be able to invest in it by March 5. This scheme is the last series of the current financial year. The most important thing in this is that this time the price of Sovereign Gold Bond is the lowest in ten months, that is, at the low level of 10 months. The Reserve Bank of India has fixed the price of gold subscriptions at Rs 4,662 per gram this time. If you apply online, you will get a rebate of 50 rupees per gram. This means that you will spend Rs 4,612 for one gram of gold.