The ongoing tensions between Ukraine-Russia has impacted commodity prices as Gold hit a near thirteen-month on MCX and thirteen to fourteen-month high on the international market on February 22. This came after the situation in Eastern Europe intensified when Russia ordered troops into breakaway regions of eastern Ukraine, supporting demand for safe-haven bullion.

COMMERCIAL BREAK
SCROLL TO CONTINUE READING

Gold reaches above Rs 50500 on MCX, with an increase of Rs 400, and over USD 1910 in the International Market. To understand the outlook on the future and present outlook of gold, Zee Business' Mritunjay Jha spoke to a panel of experts.

On gold price outlook, Prithviraj Kothari, President at IBJA feels that the biggest fear is the inflation which is likely to impact gold prices and is going to push it in an upward movement. The premium on gold as per Ukraine varies between USD 50 to USD 70.

We could see buying of gold in the State Street Global Advisors (SPDR). As of now, gold is being sold at a discount of USD 8. 

But the market can witness the correction in gold prices soon.
The ongoing tension has led to a spike in the prices of Gold and as a result entry at right levels in the market has been difficult, Pritam Patnaik of Axis Securities said.

There will be a chance of small profit-booking once the news is digested, there is . Gold may reach the point of Rs 50300 soon, and people can invest with a stop loss of Rs 50100. They can set up a target of Rs 50600 and Rs 50750. 

Manoj Jain, Prithvi Finmart, said that investors should not invest at the current levels and should wait for a dip of Rs 50250- Rs 50300 for buying. Investors can set up a stop loss below Rs 50000, with a target of Rs 50800 and beyond.
Kunal Shah of Nirmal Bang, replied, there is no possibility of a recession in gold concerning the geopolitical situation. And in today's intraday the gold can reach to a level of Rs50800, and it is expected the gold prices to rise by Rs 10000 in coming two years. Gold will increase amidst the uncertainty in the market.

For more details, Watch Full Video Here:-