Outlook 2024: Can gold maintain its shine next year? Here's what experts say
Gold price may touch ₹67,000 in 2024 on the rise in demand. Should you buy? Mint collected the views of several experts regarding their opinions on gold's prospects in 2024. Here's what they said: Gold is a good investment option currently given the expectation of a prolonged two to three years rate cut cycle and consequent dollar weakness.
The ideal allocation would be two-thirds equities and balance gold for those investors comfortable with some degree of volatility. For more conservative investors 50:25:25 for equity: gold: debt would be more appropriate. These views are for a five-year holding period.
Anything shorter in time horizon is not recommended given the state of valuations. Gold can be a useful asset to hold in 2024. As interest rates peak and the timing and extent of rate cuts remain uncertain, it can provide an opportunity for markets to speculate, creating volatility across asset markets, including gold.
Markets can oscillate between optimism and pessimism creating wild short-lived swings in gold prices on either side. Use these swings wisely to build your allocation to gold which can benefit from the eventual turn in Fed policy, which is now a given at some point next year. (Exciting news! Mint is now on WhatsApp Channels. Subscribe today and stay updated with the latest financial insights! Click here!) Gold outperformed most traded commodities in the current year in international markets with prospects for the next year also looking firm.
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