Gold Price likely to cross Rs. 55,000/10 grams in 2022

TIL Desk/Business/Mumbai/ Gold, which lost its sheen to some extent in the second half of 2021, is likely to regain the glitter in the New Year and cross the Rs 55,000-per-10-grams level amid pandemic woes, inflation worries and stronger US dollar. After a stellar run up in 2020 when the yellow metal touched a record high of Rs 56,200 on the MCX in August, the prices are near Rs 48,000 per 10 grams now.

This is roughly 14 per cent lower from the all-time highs and 4 per cent lesser compared to January 2021 levels. All said, the current level is still 3 per cent higher than overall international prices, largely thanks to a weakening rupee. CommTrendz co-founder and CEO Gnanasekar Thiagarajan said the reason behind the underperformance this year was the rush of liquidity in the equity markets.

“Meanwhile, the possibility of more COVID restrictions being imposed for Christmas and New Year holidays loomed over several European countries as the Omicron variant spread rapidly. “US health officials urged Americans to get booster shots, wear masks and be careful if they travel over the winter holidays,” Thiagarajan said.