Budget 2024: gold becomes most expensive in a month...
The prices of gold, the favorite metal for making jewelry and investing, are continuously running at a high level. After a slight softening in the past few days, the prices have started climbing once again and have now reached a one-month high. The demand for gold at an expensive level is getting affected, as people are postponing their decision to buy gold. Meanwhile, the hope of gold prices easing due to the budget is increasing.
Prices reach one-month high
This week gold has become about 2 percent expensive in the international market. On friday, spot gold closed at $ 2,411 an ounce, which is its highest level in a month. The same trend was seen in the domestic market and on friday the gold contract with august expiry on MCX closed at Rs 73,285 per 10 grams.
Gold became 15 percent expensive this year
The gold which was at the price of Rs 63,870 at the beginning of this year, has now crossed Rs 73 thousand. That is, gold is about 15 percent more expensive only this year. Its direct impact is visible on the demand. According to a report by ET, the demand for gold in the country fell by 15 percent on an annual basis in the April-June quarter. Due to the increase in prices, people are keeping away from buying gold. On the other hand, due to less auspicious time for marriage, the demand for gold jewellery has not picked up in July.
Jewellery industry made this demand from the budget
The jewellery industry is upset due to the fall in the demand for gold in the market and is demanding the government to intervene in the budget. The jewellery industry demands that the government should reduce the import duty on gold from 15 percent to 10 percent. At the same time, some people in the industry are demanding to reduce the duty to 4 percent. A PTI report citing GJEPC has demanded reduction of import duty on gold from 15 per cent to 4 per cent.
Gold will become cheaper if the demand is implemented
If the government accepts this demand of the industry in Budget 2024, then it is expected to increase the demand. The reduction in custom duty will have a direct impact on the prices of gold in the domestic market and buying gold will become cheaper. In such a situation, people can get a golden opportunity to buy gold after the budget. Finance minister Nirmala Sitharaman is going to present the full budget for the financial year 2024-25 on July 23.
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