Why gold will continue to shine despite hitting record highs

Prices of the precious metal have soared three times in past 9 years, and bullion experts expect the prices to hit 2 lakh/10 grams in the next 7 to 12 years BENN KOCHUVEEDAN @ Mumbai GOLD has been and still is the ever-shining and the most trusted metal that women love to own and adorn from time immemorial.

-  BENN KOCHUVEEDAN

And the lure for the yellow metal continues its northward-ho despite prices creating new peaks every other day having scaled past to a record $2,434 an ounce late April and closing at $2,419.80 this Saturday, up over $34 an ounce on a single day. That means the metal has rallied over 40% from the October 2022 trough forced by the Russian invasion of Ukraine in the February of that year.

In fact, gold has long been the most preferred choice for parking wealth in our country, long before stocks, mutual funds and other financial instruments became more popular investment options as this is the most liquid safe haven asset, apart from providing a hedge against inflation or any kind of financial uncertainties.

Over the years, the country has also moved away from physically owning gold in the form of jewellery and coins or bars into dematerialised forms such as sovereign gold bonds, digital gold, and gold exchange traded funds now, all at a time when the prices have been heading north.