Gold, a safe option for investors when banks and mutual funds aren’t secure any more, may see a slight correction this week. The futures market has reached around Rs 15,400 per 10 gram and likely to dip on profit booking. Gold touched a record high of Rs 15,750 for 10 gram on February 19. The international gold prices reached $ 1000 an ounce in NYMEX.

Experts are of the opinion that correction for gold at the moment is impossible, as it remains bullish in the market. Moreover, investing in gold is considered to be a wiser option by most people. Gold is not only recession proof but it also absorbs all macro economic shocks. It is bound to trade Rs 16000 plus in the domestic market and cross the $1000 mark in the international market.

People are quick to take advantage of the current trend by selling their old gold jewellery and coins in India. It is believed that the Indian population has approximately 15,000 tonnes of hoarded gold. Although it’s the marriage season in India, the sale of gold has collapsed the import of gold. The consumers are willing to wait to get more of gold for the same amount of cash; however, traders say it’ll surely be a long wait.

Via: EconomicTimes