Today, the price of gold and silver declined in the national capital in line with global markets. According to HDFC Securities, the price of gold in the domestic market fell by Rs 714 to Rs 50,335 per 10 grams. The yellow metal had closed at Rs 51,049 per 10 grams on the previous trading day.
Talking about silver, today the price of silver fell by Rs 386 to Rs 69,708 per kg as against Rs 70,094 per kg in the previous trading session. In the international market, gold and silver stood at US $ 1,916 per ounce and US $ 27.07 per ounce respectively.
Gold has benefited from large-scale incentives in the year 2020 to counter Corona’s economic impact. It has increased by 25 per cent in 2020. Gold is seen as a hedge against inflation and currency decline. Talking about silver, it rose by 50 percent.
Gold and silver price fluctuations are caused by fluctuations in the US dollar, rising corona virus cases and related restrictions, mixed economic data from major economies, and additional stimulus measures. Analysts say the biggest factor on the price of gold in the last few weeks is progress on the vaccine front.
If you look at the data from January 2011 to December 2020, gold has been heavy on both Sensex and Silver in terms of returns. Gold has given a return of 151 per cent in this decade. Gold took a good lead in 2011, but after that it was around 28,000 from January 2012 to June 2017. That is, it did not give any returns for five and a half years. Gold started picking up again from December 2019 and has created a new historical level.