Communication of hope for new demand in gold-silver as prices fall.

- Global gold falls below ૮ 1,200 as dollar index and bond yields rise

- Bullion Bits-Dinesh Parekh

Silver prices fluctuated by 20-30 cents per ounce as global silver prices became disoriented. McClure, an Australian miner, said silver would play a key role in the world's energy production. Silver will be required for solar projects and in the long run the demand for the sector will increase and the supply of silver will fall short of the demand. As a result, silver prices are likely to rise sharply.

In New York's Comex market, there were six long-term speculators in silver futures, but fewer than last week. At that time, in short term contracts, 4 contracts were reduced and a total of 214 contracts were registered.

Silver expert analyst David Morgan says that although silver has declined at the current level, it has outperformed gold.

Demand for silver will gradually decline as the supply of silver in the solar sector, electronics and other medical sectors declines and in the long run, silver prices will rise.

In the Mumbai gold market, gold prices have declined on the back of a weakening global gold market. With gold prices falling, households are doing well. Gold was quoted at Rs 200 per 10 grams. At that time, gold futures were quoted at Rs 5,050 per 10 grams.

Consumers are coming to buy gold as gold prices are falling and showing stability. And investors are investing in gold. Gold imports stood at 121 tonnes in August, down from 7.5 tonnes in August last year. Thus, imports have doubled during the Pandamic period with the opening of the market, which shows that the Indian people's love for gold has not diminished but also the smuggling of gold has increased. Smuggling has increased in the southern states as the airline comes from Dubai, and smuggled gold is seized daily at Kerala airports.

Wholesale jewelry merchants have been exempted from the new law of hallmarking and their jewelry business is running out of flood. The house is good in the show-room. Although a factory for making duplicate branded bars has been caught in the jewelery market, there are two prices of gold bars in the market. And with a difference of Rs 100 in the price, the price of a standard bar is quoted at Rs 70 on Wednesday and the price of a local bar is quoted at Rs 20 per 10 grams.

Overall, gold prices are expected to rise as prices remain low and gold is expected to be priced at Rs 2,000 per 10 grams in Diwali.

In the Mumbai silver market, silver has fluctuated between Rs 500 and Rs 200 per kg. In the futures market, silver has hovered between Rs 200 and Rs 500 per kg. The current silver futures are quoted at Rs 2,000 per kg.

The show-room is full of housewives and the silver housework will be good during the festive days. The silver coin maker hopes to buy silver at all prices and make silver coins and sell the coins at festivals.

Importers import silver by booking silver at all prices and trading at Rs 100 discount below the present silver price of the bill without quoting the price of Rs 100 plus 3% tax below the futures. There is a slow recovery in silver prices and silver could show a price of Rs 2,000 to Rs 30,000 per kg on Diwali.