Gold jumped 2000 this week! Investors’ hopes were raised again, know the future strategy

New Delhi. Gold futures on MCX ended trading at Rs 1,23,400 on Friday, although there was a decline of 2.64% in the day’s trading. Despite this, gold rose by about Rs 2,000 or about 2 percent in the entire week, which increased expectations of a bullish trend in the market. Experts believe that the rapid recovery in the last few days has once again given investors confidence that gold can move towards its record level of Rs 1,32,000.

What is the reason behind the price increase?
Despite harsh comments from Fed officials, global uncertainty and heavy buying by central banks supported the sentiment. The economic data coming after the US government shutdown can have a big impact. Expectations of weak data due to the shutdown and rapidly rising gold inventories in Shanghai are also pushing prices higher. Also, gold purchases at record levels by emerging economies like China and Poland are providing a strong base to demand.

Will remain big buyers even in 2025
In the last two years, central banks around the world have bought more than 1,000 tonnes of gold every year and this level has been touched in 2024 also. Initial estimates suggest that purchases may continue up to 750-950 tonnes in 2025, which will provide strong support to falling prices. At the same time, there may be volatility in the gold market due to Fed’s rate policy, sharp fluctuations and global events.

What strategy should investors adopt?
Experts advise to avoid buying at high levels and gradually increase purchases for every 2-3 percent fall. In the long run, the ‘de-dollarization’ trend provides strong support to gold, so investors should wait for opportunities. Gold has strong support zones at Rs 1,18,000–1,20,000, while the target of Rs 1,30,000–1,37,000 is possible in the medium to long term.