Year-ender 2023: Impressive 13% returns for gold. Is this its best show in 10 years?
2023, year-to-date, yellow metal's gains are not its best in the last 10 years. The top returns were delivered by it amid the Covid virus break in 2020 at 28.23%, highlighting why it is the best hedge in uncertain times.
Commenting on yellow metal's performance, Palka Arora Chopra, Director, Master Capital Services said that gold failed to beat other asset classes this year, despite outperforming initially and hitting lifetime highs.
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Offering CollegeCourseWebsiteIIM KozhikodeIIMK Chief Product Officer ProgrammeVisitIndian School of BusinessISB Chief Technology OfficerVisitIIM LucknowIIML Chief Operations Officer ProgrammeVisitIn 2023, equities furnished robust returns with Nifty's December surge taking gains to over 17% outclassing the bullion. Coming off age, more investors preferred to invest via systematic investment plans (SIP) to capitalise on the opportunities. Moreover, bouts of corrections on elevated bond yields and record dollar index (DXY) took the chips down during the year.
2023 Report Card However, when it came to peer-to-peer comparison, MCX Gold has returned higher returns than Comex gold, Anuj Gupta, Head Commodity & Currency, HDFC Securities informed. On the YTD basis, the net gains by MCX gold is 13.55% while those by Comex are slightly lower at 11.70%. Yellow metal futures on MCX hit the lifetime high Rs 64,063 in 2023 while testing this year's low of Rs 54,771. This translates into Rs 9,200 price range that it has traversed.
In 2011, the returns by MCX gold were 31.84% while 29.61% in 2010.
As a caveat Gupta said that that percentage should not be taken on face value as 10-20 years ago the base price was relatively much smaller and hence
