Economic uncertainties and geopolitical tensions suggest a rise in gold prices, making gold an essential portfolio hedge in the event of an economic downturn and prices are expected to see a rise of USD 2,300 per ounce or 70 000 per 10 grams in 2024, he said.
“If economic conditions deteriorate, leading to increased demand for defensive assets, gold prices could rise, providing upside potential beyond all past forecasts,” he added.
In 2023, gold outperformed other investment products due to safe-haven buying triggered by the US interest rate pause, geopolitical uncertainties and high inflation amid a global economic slowdown, Mehra noted.
With a yield of 13%, gold continues to be the most attractive investment option in 2023, he said.
The precious metal has seen continued buying interest from investors, supported by a recent stock market rally over the Christmas period.
Consumer appetite has been evident throughout the year for all forms of gold products, such as physical gold, bonds and paper gold. “Gold has been a timeless draw for Indian consumers, following a similar trend overseas, hitting an all-time high of Rs 64,460 per 10 grams during this year and eclipsing other asset classes in 2023 .In international markets, spot gold has surpassed the previous one. a record high of USD 2,081 per ounce,” Mehra said.
This means that consumer appetite for gold is increasing and with continued global economic uncertainty, prices will certainly propel gold to much higher levels in 2024, he added.
Economic uncertainties and geopolitical tensions suggest a rise in gold prices, making gold an essential portfolio hedge in the event of an economic downturn and prices are expected to see a rise of USD 2,300 per ounce or 70 000 per 10 grams in 2024, he said.
“If economic conditions deteriorate, leading to increased demand for defensive assets, gold prices could rise, providing upside potential beyond all past forecasts,” he added.
In 2023, gold outperformed other investment products due to safe-haven buying triggered by the US interest rate pause, geopolitical uncertainties and high inflation amid a global economic slowdown, Mehra noted.
With a yield of 13%, gold continues to be the most attractive investment option in 2023, he said.
The precious metal has seen continued buying interest from investors, supported by a recent stock market rally over the Christmas period.
Consumer appetite has been evident throughout the year for all forms of gold products, such as physical gold, bonds and paper gold. “Gold has been a timeless draw for Indian consumers, following a similar trend overseas, hitting an all-time high of Rs 64,460 per 10 grams during this year and eclipsing other asset classes in 2023 .In international markets, spot gold has surpassed the previous one. a record high of USD 2,081 per ounce,” Mehra said.
This means that consumer appetite for gold is increasing and with continued global economic uncertainty, prices will certainly propel gold to much higher levels in 2024, he added.