"Gold prices may range between Rs 12,500 and Rs 13,500 in the near future. Demand, which is flat presently, will pick up once the festival season commences after August," Bombay Bullion Association (BBA) president Suresh Hundia told PTI.
Gold price has already touched the Rs 13,100 per 10 grams mark in the bullion market here today on sustained buying by stockists and jewellers, triggered by strong global markets.
The most auspicious days for buying gold will commence around the time of festivals like Ganesh Chaturthi, Dussera and Deepavali which fall between August and October. Gold price is correlated with crude oil prices and goes up in line with the crude prices, Hundia said.
Trading activity in gold picked up after reports that crude oil rose to a new high of $144 a barrel amid concerns over a weakening dollar and tension in the Middle-East.
Gold may continue to consolidate in $915-926 range in the international market, an analyst at Sharekhan Commodities, said.
Hedge funds were also shifting from stocks to surging bullion, considering it a safe haven, analysts said. We expect gold prices to continue its upside till $965," Kotak Commodities' bullion analyst, Raghavan Sundararajan, said.
