After the intense sell-off seen by gold yesterday, the precious metal saw a bit of rebound. Speculators and hedge funds are yet to start buying and uncertainty over the fed stimulus programme has dampened spirits about what was considered to be a safe haven.
The price of gold has fallen, and could fall further. The increased interest in the stock market has led to gold being less attractive as an investment. And chances are that by Deepavali, the rate could fall further.
Gold rates have crossed Rs 30,000 for 10 gm. The rise in prices is despite this not being the peak wedding season. This story explains some reasons for the high rates, and when is the right time to buy gold.