Safe haven play back in gold: Angel Commodities Broking

Views by Mr. Prathamesh Mallya (Chief Analyst- Non-Agri Commodities & Currencies, Angel Commodities Broking):

"Gold prices have gained by more than 10 percent since mid July 2017 and for the first time in last 10 months crossed the $1300 mark very recently and currently trading at $1335/oz mark. Geo-political crisis have been at the helm of affairs since the start of the year and the recent rally in gold is a subset of nuclear capabilities of North Korea and threat to the global world with rising nuke prowess of the Korean peninsula.

To add to this, weak dollar and low inflation, poor non farm payrolls data, impact of Hurricane Harvey, and fading chances for another Federal Reserve rate hike this year in US are further pushing gold prices cross the $1300 psychological mark.

If the crisis situation with regards to the nuclear weapons by the Korean peninsula continues, we might see gold prices inching higher towards $1360 mark while in the Indian markets, futures gold prices will move higher towards Rs.30500/10 gms mark in the near term."

Source : Equity Bulls

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