Gold recovers amid weak demand

Hyderabad : With less than a week remaining for Donald Trump to take over the reigns of the US as its President, there has been hectic activity in all spheres of economy in the country which, in turn, has cast its shadow on the global economies. Thus, rapid unexpected and unpredictable changes in all walks of life in the US are expected after the ascendance of Trump to power during the foreseeable future. Trump, better known as an astute businessman, is rightly looked upon with lots of hopes by the business community.

At home, the jewellery market continued to remain lacklustre. The Sankranthi festival, considered to be one of the important festivals of Telugu land, too, did not leave any mark. Stringent measures taken by the authorities in the wake of the demonetisation have put the black money holders and their convertors, none other than the unscrupulous elements among the jewellers, under check.

During the week, standard gold (24 carats) recorded an appreciation of Rs 490 (per 10 gms) and closed at Rs 29,170 (per 10 gms ) from the last week’s closing of Rs 28,680. Ornamental gold, too, ruled at the higher levels and was quoted in the range of Rs 28,490 to 28,590 (per 10 gms). Silver (0.999), on the other hand, remained divergent but finally closed at the previous week’s closing level of Rs 40,900 (per kg).

The sentiment in the principal wholesale commodity markets, including Begum Bazar, Mir Alam Mandi, General Bazar, Risala Abdullah, Mukhtyar Gunj, Kishan Gunj and the markets at Dilsukh Nagar, Kukatpally, Bowenpally, Alwal and Miyapur continued to be from moderate to strong. During the week, wheat, coriander and jeera ruled at the lower levels.

By Dr H C Upadhyay