Although economic growth has decelerated, it hasn't collapsed, leading markets to prematurely conclude that global economy has withstood the shock. This conclusion is premature.
Net inflows into gold ETFs surged to a record $2.654 billion, slightly higher than stock fund inflows of $2.653 billion, according to Association of Mutual Funds in India.
Central bank communication now holds as much significance as central bank action. A single clause in a press conference can move markets more than a 25-basis-point adjustment.
Sovereign Gold Bond scheme was meant to reduce physical gold imports & provide govt a cheaper borrowing option. But gold imports haven’t gone down while govt liability has surged.
In Episode 1612, Editor-in-Chief Shekhar Gupta looks at how ongoing global financial uncertainty, inflation & weakening dollar are making gold the preferred asset for long-term security.
Duty cut brought down domestic prices of gold last week to Rs 67,500 ($806.20) per 10 grams, their lowest in 4 months, from a record high of Rs 74,777 earlier this month.
A well-oiled nexus of carriers, receivers, airline & airport personnel keeps the racket running. As import duties & gold prices increase, the smuggling market becomes more lucrative. Read ThePrint investigation.
Global media also reports declining gold sales amid soaring prices in India and predicts a drop in LNG imports as rain cools homes & reduces power demand.
China patiently invested capital, skill and technology in coal gasification. Unlike it, we won’t move from words to action. As crude prices decline, we lose interest.
COMMENTS