The benchmark index for 50 stocks Nifty 50 crossed the 10,200 mark on Monday and undoubtedly investors with positions in fundamentally strong stocks in their portfolio might have recouped good gains. But also at this, the valuations across the board are steep so as a good diversifier to your portfolio you can surely buy gold this Dhanteras which is considered highly auspicious for gold purchase. Also, there are higher chances that going ahead, gold shall only surge in value given the global landscape.
Check gold rates in Indian cities here
Now, here is a take on how gold investment can yield you profits.
1. Given the heightening tensions between the US and North Korea: As of now the tensions have eased, but the atmosphere even today is uncertain and in light of it gold which is considered as a safe haven will see more of money going in and hence the surge in pricing shall be a natural phenomena.
2. Also, as against the perception, uptrend in the US rates shall also make the metal maintain its sheen: The US economy is known to revive and consequently rates are being increased and given the recent increase in the US rates and also the expected hike in December, the metal has only shined since then by as much as 20%. For this year, gold inch to its high in the month of September at $1349/ounce. The tenet is justified as any hike increases uncertainty gold gains ground.
3. Equities are overly priced: Liquidity has ruled the market this time and as gold and stock markets work inversely likely correction in stock markets in the near term shall also be able to reap good fortunes for a good investor.
4. Government Earlier KYC Norms For Gold purchase have been reversed: As against the earlier rule, which brought dealers in precious metal within the scope of PMLA and necessitated reporting of high value transactions by them because of which several showed reluctance during the Navratra and Dusshera period. You can on the waiver of the KYC can surely go ahead to make a bet on gold.
5. Gold is also likely to gain if greenback becomes weak: Strong dollar makes stocks strengthen and hence gold looses its gains. But in case the UK Bank announces any rate hike then euro shall strengthen ground against dollar making gold more attractive bet