Diwali 2023: Gold to glitter, base metals may struggle in Samvat 2080, says Jigar Trivedi of Reliance Securities
Also Read: Diwali 2023: What is ‘samvat’ and why does it hold significance for stock market investors? Exactly, the major positive for silver is rise in the industrial demand. The use in 5G technology, green energy and Electric Vehicles (EV) is likely to drive the market up. Nonetheless, China is clearly struggling with an economic downturn, we expect the recovery in the manufacturing activity somewhere in H2 of next year.
Not to mention, political uncertainty, weak dollar, buoyant atmosphere in the bullion space, all will provide a push to silver. We are of the opinion that silver may outperform next year too. (Exciting news! Mint is now on WhatsApp Channels Subscribe today by clicking the link and stay updated with the latest financial insights! Click here!) SGB, as it provides better tax efficiency, earns interest and has no maintenance cost.
One can start with the smallest unit. Of course there is no upper limit in the ETF way but SGB is still the best option. Yes, correct.
Central banks have bought a net 800 tonnes of gold YTD, the highest on record for that nine-month period. The reason behind it is, uncertainty related to rate cycle and geopolitical risk. It's been more than 18 months since the Russia and Ukraine war and now we are witnessing a war between Israel and Palestine.
To safeguard against rising global uncertainty, the central banks’ of developing countries have chosen to keep buying the gold. We believe the trend will continue among central bankers. We also believe that this may push prices even higher in coming sessions.
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