Gold prices have been continuously going up for some time. A report has claimed that Indians are also responsible for this to a great extent. The report has said that the gold rates are continuously rising due to the huge purchases made by the people of Asia. People of India are also purchasing gold on a large scale. This is why gold prices have increased by about 11 per cent in the last few weeks.
Shopping Is Happening All Over Asia, Including India
Goldman Sachs has said in its report that many factors are responsible for the rise in gold prices. But, one of the primary reasons is the purchases made by the people of Asia, including India. Apart from this, central banks of emerging countries also purchase gold on a large scale. These things are affecting the world, and gold prices are continuously rising. In the last two months alone, gold rates have increased by more than 17 per cent.
The Impact Of Middle East Tension Is Also Visible
Experts at Goldman Sachs estimate that such a high price of gold is inappropriate for the market. Generally, gold, currency, and real estate are linked together. A rapid rise or fall of any of these is not good for the others. The current tension in the Middle East and worldwide political changes have also affected gold prices. The war between Israel and Hamas has been going on for several months, and on Saturday, Iran added fuel to this fire by carrying out drone attacks on Israel.
Gold Can Stop Only Due To These Things
The report says that if a peaceful solution to the conflicts in the Middle East is found, the Central Bank will reduce its purchases, and the question marks over China’s economic progress will be erased. Then, gold prices may stabilize. If this does not happen, it is not easy to stop the rising prices of gold.
