SHEEN OFF ON GOLD

Chennai: The recent slide in the prices of gold made customers go into frenzy with huge amount of sales being recorded by the jewellery houses in the city.

With the occasion of Akshaya Tritiya just round the corner, retail investors are treading carefully before investing in gold as the value of gold might further drop as suspected.

Akshaya Tritiya

With the prices going down below Rs. 25,000 for 10 grams of 24 carat gold,

Mr. Akshay Galada also said that even though the gold prices take a hit, the wholesalers remain unaffected as they still continue to stock the stipulated amount of gold they had to buy and they just suffer ‘book losses’.

Gold Bars

Mr. A.S. Abu Baker of LKS Gold House said that even though gold is touted as being the safest asset, providing safe returns in the past, the current scenario is a worry for small time pawn brokers as the market is very volatile at the moment with the prices going up and down on a daily basis.

Mr. Abu Baker also said that that though silver can be resorted as a second option to invest in, it has  in the past burnt hands of investors.

The prices of gold cannot be predicted, even though the slump might have come a bit early for the consumers than during the Dhanteras season, people are buying gold like never before.

This might be good for the market, but for small time jeweler house, this has come as a rude shock, and they are awaiting a more stable pricing in the near future.

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