Gold is considered a valuable asset that never goes out of trend. In this Article, you can find Gold Rate Forecast or Gold Rate Prediction for this entire month, next month and this whole financial year 2020-21. Also you can find out Gold rate forecast & predictions for next financial years i.e. 2021-22 & 2022-23.
Do you know that over the past year, gold funds have given average returns of 26.84%? In the March quarter, Gold funds topped the charts with whopping 11% returns.
Latest Factors Affecting Gold Prices, Forecast or Prediction
Gold prices largely depend on these major factors – Re-emergence of Covid, World Economic Situation, US Dollar Value, US-China-Reset of the World Relations, Inflation/ Interest Rates, Printing of Money, and Other Factors.
Though the vaccination for Covid-19 has begun making its way to the markets, the emergence of the latest strain of Coronavirus can lead to gold going up. Generally, any pandemic will create havoc in the global economy and in those unpredictable times gold’s price will move up, you will see these prices in this gold rate forecast.
If you are looking to invest in Gold, it is hugely recommended to take a look at the past performances of the yellow metal that could help you predict its future performance. However, today, there are various sites that provide understandable info on gold rate forecast. For your reference, below is a chart highlighting gold price prediction for the next 30 days:
Gold Rate Forecast for Next 30 Days
Please note that these gold prices are just for indicative purposes and the actual prices may vary. This chart intends to give an idea about the gold price trends in near future. You can do your research and find out the actual gold price on a respective day.
Monthly Gold Price Prediction – Gold Rate Prediction for 2021
Gold Rate Forecast from April 2021 to Sep 2021
Gold Rate Prediction from Oct 2021 to March 2022
The below chart defines the gold price future prediction for 2021-22.
Gold Rate Forecast for 2022 – 2023
The chart clearly indicates that a steady increase in the gold rate is predicted for the 2022-2023 period.
Factors that influence the Gold Rate Forecast
- Demand and Supply
As is realistic with any traded commodity, the demand, and supply of gold, play a prominent role in defining its price. Unlike oil, gold is not a consumable product. All the gold that has ever been mined is still available in the world. Also, every year, the amount of gold mined is not very up. And so, if the demand for gold goes up, the price increases since the supply is comparatively uncommon.
- Interest Rates
Gold prices have a converse relationship with interest rates. When the interest rates slump, individuals don’t get attractive returns on their deposits. Hence, they tend to break their deposits and buy gold instead causing an increase in demand and so the price. On the other hand, when the interest rates rise, people sell their gold and invest in deposits to earn high interest leading to a drop in demand and price.
- Inflation
When the inflation rates soar high, the value of the currency goes down. Also, most other investment avenues flop to deliver inflation-winning returns. Hence, most people start investing in gold. Even if high rates of inflation last for a longer period, gold acts as ideal privet since it is not influenced by fluctuations in the value of the currency.
- Import Duty
India accounts for less than one percent of global gold production. However, it is the second-largest consumer of yellow metal. It imports large amounts of gold to meet the rising demand. Thus, import duty plays a great role in the price of gold.
- Government Reserves
The Government of India has several gold reserves. Given its policies, it buys or sells gold through the Reserve Bank of India (RBI). The price of gold can get affected depending on whether it buys or sells more.
Reasons behind the increase in gold prices
Below are the reasons behind the increasing price of gold –
- High liquidity
The RBI enables borrowers to get a moratorium on loan repayments till August 31, 2020. The Government also announced multiple economic inducement packages to fuel liquidity into the markets. So, this led to a situation where investors had money to invest but the stock markets were extremely volatile and interest rates were reducing. Hence, they began investing in gold that is known to be a safe investment during such times.
- Exchange Rate
The value of the Indian Rupee has reduced acutely since the lockdown. At present, it is nearly Rs. 75 against the US dollar. Since India is the second-largest importer of gold, such exchange rate variations tend to affect gold rates.
- Reduced Gold Mining
One major factor that influences gold rates and gold price future prediction is the demand and supply formula. While the demand went up, gold mining activities were immensely impacted due to lockdowns in different parts of the world. This influenced the supply causing the gold prices to increase further.
FAQs About Gold Rate Forecast
Ques- What are the factors that affect gold rates?
Ans- There are lots of factors that are found to make the gold prices fluctuate like liquidity, demand and supply, inflammation, global economy and others.
Ques- Is your gold rate prediction accurate?
Ans- In most cases, this gold rate prediction tries to be as accurate as possible. But the actual gold prices may vary depending on various underlying factors.
Ques- What is the current gold price trend?
Ans- t present, the prices of gold metal are on the upward side. And this trend is expected to continue for coming months.
Ques- What are the different types of gold investments?
Ans- There are different types of gold investments available today including Digital Gold investment, Gold coin investment, gold bars investments and gold ETF investments.