Gold prices leave investors jittery

Tribune News Service

Ludhiana, March 3

The price of gold had surged up to Rs 58,000 per 10 gram about 3-4 months back as it was “predicted” in the market that the prices will further see an upward trend up to Rs 65-70,000 per 10 gram. Huge investments were made by investors as gold was found to be an ideal investment because of its quick returns during the pandemic, when property saw a declining trend. Contrary to the speculations, the prices of yellow metal came down to Rs 47,100 per 10 gram (24 carats) today and presently, uncertainty prevails in the market whether to purchase or sell the gold.

Anand Sekri, president, Ludhiana Jewellers Association, said the investors who had bought huge amounts of gold when it was at its peak are now worried as the prices have come down by Rs 10,000 per 10 gram.

“Those who made huge investments cannot sell at present rates fearing loss. Moreover, they do not want to invest any further in gold. So, it is simply wait and watch situation for them, who have already purchased in bulk. But as far as new buyers are concerned, there is definitely increased demand as they feel that in times to come, the metal will again see an upward trend,” said Sikri.

Navdeep (name changed), an entrepreneur, said she had bought 20 tolas of gold when the prices were at peak thinking that it would increase further. “But now the prices fell and we feel that it was a wrong decision taken by us. Though people are saying that the prices will come down further and then there will be an increase but then these are all speculations and no certainty”, she added.

Balvinder Verma, another goldsmith in Mandi Ahmedgarh, said the history of gold tells that rates come down but after a certain period. “Nobody predicts how much time it will take but trends tell that price of gold fall and then go up again. But people continue to make investments in gold as it provides quick and good returns”, he added