Have you also bought gold and silver coins and jewelery on Dhanteras and Diwali? Actually, investment in gold and silver has been done on Dhanteras for centuries. This time, people across the country bought gold and silver extensively. There were record sales everywhere from jewelery shops to online platforms, especially silver. Despite gold being so expensive, people did not shy away from buying it. But now since the day of Diwali, a decline in the prices of gold and silver is being seen. In such a situation, those who had purchased at a higher price are now wondering what to do? Keep or sell?
First let us know that gold-Silver Why is there a decline in prices? According to market experts, there are many global and domestic reasons behind the recent fall in gold prices. The dollar index has strengthened, due to which foreign investors are withdrawing money from the gold market. Apart from this, the possibility of interest rates remaining stable in America has increased, due to which the prices of gold and silver seem to be slowing down a bit. Prices have also come under pressure due to weak demand and profit booking.
Gold and silver prices are continuously falling
Demand phenomenon is also a common thing after Dhanteras and Diwali. On Dhanteras, the price of 24 carat gold reached Rs 1,27,000 per 10 grams. Now the price has fallen to around Rs 1,23,000. The price of silver had gone above Rs 1.70 lakh per kg on Dhanteras, whereas now the price of silver has fallen to Rs 15,000 per kg.
Seeing this decline, some people are saying that they considered it an auspicious day. Sleep Had taken. But now there is fear that there may be further decline. If there is further decline then there will be huge losses.
In fact, the speed with which the prices of gold and silver were rising was certain to be slowed down. Some people are booking profits, because gold has become expensive by about 60 percent in the last one year. The price of silver has increased even more than this. In such a situation, if you have bought gold and silver at an expensive price, then what should you do now?
First thing- Do not try to sell the gold and silver bought on Dhanteras in a hurry. Gold is an emotional asset and its value increases with time, not decreases. If we look at history, after every major fall, gold has strengthened itself. if you have investment From a financial perspective, if you have invested a large amount, then do not be hasty. Gold is a long-term asset.
– After Covid in 2020, gold had slipped to Rs 50,000 per 10 grams. But the very next year it crossed Rs 60,000.
– The dollar had declined strongly in 2013-14 also. But the prices doubled in the next three years.
Therefore, for investors who take a long-term view, this decline is not a matter of concern but an opportunity. Experts say that if gold is bought not for need but for investment or tradition, then keep it safe for at least 1-2 years. If the prices of gold and silver fall from here also then there may be an opportunity to buy. This will balance your total purchase price. However, in future it will be safer to increase investment in digital or paper gold instead of physical jewellery.
As far as silver is concerned, experts are more bullish on silver as compared to gold. This means that there is a greater possibility of increase in silver prices. Because due to industrial demand and increasing consumption in the solar energy sector, a rise in the price of silver is possible in the coming years.
Experts believe that gold can reach its peak again in the next 6 to 9 months. Lower interest rates in the US, China’s economic slowdown, and geopolitical tensions may again make gold a safe investment. Let us tell you, in the last 10 years, gold has given an average annual return of 9-10%. Whereas the stock market or other investment instruments were not so stable. Therefore, there is no need to be afraid of these few weeks of decline. Hold the gold for at least 2 years at the price you bought it.
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