Akshaya Tritiya’ a day for GOLD?

India is probably the only country where a religious day is linked to a practice of gold buying. It is the Akshaya Tritiya festival day and we are talking tons of gold here. According to estimates, Indian consumers bought about 20 tonnes of the precious metal on this festive day in 2010. However this was much lower than the buy in 2009 due to soaring prices. India, the world's largest consumer of the yellow metal, bought some 45 tonnes of Gold in 2009. So what makes Akshaya Tritiya a day for GOLD?

For Indians buying gold is a popular activity on Akshaya Tritiya day, as it is the ultimate symbol of wealth and prosperity. This year the date of Akshaya Tritiya is Saturday, 29^th April. This day is important to both Hindus and Jains. According to the traditional panchang Akshaya Tritiya falls on the third day (Tritiya) of the new moon of Vaishakh month (April-May) every year.

Akshaya in Sanskrit means one that ‘never diminishes’ (a—kshaya) and the day is believed to bring good luck and success. Hindus believe they can get lasting prosperity by buying precious metals on the day. Akshaya Tritiya is traditionally earmarked for beginning new ventures, for investing and purchasing valuables especially gold, jewellery and diamond. It is no surprise Indians buy gold on Akshaya Tritiya as it is considered very auspicious and a safe investment. It is also believed that any meaningful activity started on this day would be fruitful.

We all know that 2011 was the best performing year for gold wherein the yellow metal gave highest returns compared to all assets in it class.

Economically this day is quite productive for marketers as they cash in on the festivity to boost their sales. Marketers indulge in high voltage advertisement campaigns especially the jewellery stores. In fact people in India and overseas book jewellery in advance and take delivery on Akshaya Tritiya day. It’s a day of frenzy buying for all precious metals especially gold. Sales on Akshaya Tritiya day usually increases four to five times compared to normal days. Traditionally the preference for customers is to buy light-weight jewellery, diamond jewellery but today’s economic superpower India sees several buyers preferring diamond jewellery purchases.

India is a secular country and each religion has its own story behind the celebrating Akshaya Tritiya and buying gold on this auspicious occasion.

Let’s have a brief look at the different stories behind each celebration.

According to Hindu astrology, the entire Akshaya Tritiya day is auspicious. So there is no need to look for an auspicious time i.e. no ‘Muhurat’ required on this day. This is the only day in any year when the Sun which is the lord of the planets and Moon which is the lord of creativity are in exaltation meaning at their peak of radiance. Astrologically this is extremely auspicious. That also makes this day one of the most popular dates in Hindu calendar for marriages and partnerships.

Glance through the annals of ancient Indian heritage and one finds that on this Tritiya day of Vaishakh month many significant things of great spiritual importance happened. According to Jain legends, this day is auspicious as people from Ayodhya bought gold and jewellery to offer to their Tirthankara Rshabhdev who was the King of Ayodhya centuries ago. Jains, even today, observe long term fast to commemorate their first Tirthankara Rishabhdev and break their fast on Akshaya Tritiya day with sugar cane juice as Rishabhdeva broke his fast with that juice after 1 year.

According to the ancient Hindu religious texts like the Puranas, this day marked the beginning of the "SatyaYug" or the Golden Age - the first of the four Yugas. It is believe that on this day Lord Krishna gave Draupadi a bowl - Akshaya patara (where food came in abundance) when the Pandavas were in exile. Traditionally this third day in the bright fortnight of Vaishakh is also the day of the sixth incarnation of Lord Vishnu ~ the ‘preserving’ manifestation of God in the Hindu Trinity.

On this day of Akshaya Tritiya, Maharishi Veda Vyas along with Lord Ganesha started writing the great epic Mahabharata. It is also the day the most sacred river of the Hindus, Ganga descended to earth. On this day Sudama visited his childhood buddy Lord Krishna with a hearty gift of a handful of beaten rice (poha). The good returns (prasad) he got in return for his devotion to the Lord is a classical story told in Hindu households. On such a day associated with Lord Krishna the story of Sudama’s offering is mentioned along with Lord Krishna’s affirmation in his Holy Gita ~ "Whoever offers a leaf, a flower, a fruit or even water with devotion, that I accept, offered as it is with a loving heart ".

Thus, many are the reasons for Akshaya Tritiya to be considered a wish fulfilling day. Any worship performed or daan (donation) given on this day is considered extremely good karma. Good karma is considered meritorious and is supposed to bestow beneficial results.

Akshaya Tritiya Muhurat to Buy Gold

April 28, 2017 (Friday) - 10:29 to 29:46+

Auspicious Choghadiya timings between 10:29 to 29:46+

Morning Muhurat (Char, Labh, Amrit) = 10:29 - 10:41
Afternoon Muhurta (Shubh) = 12:19 - 13:57
Afternoon Muhurta (Char) = 17:13 - 18:51
Night Muhurta (Labh) = 21:34 - 22:56
Night Muhurta (Shubh, Amrit, Char) = 24:18+ - 28:24+

Akshaya Tritiya Muhurat to Buy Gold

April 29, 2017 (Saturday) - 05:46 to 06:55

Auspicious Choghadiya timings between 05:46 to 06:55

No Muhurat Available

HAPPY NEW YEAR

WISHING EVERYONE A VERY HAPPY NEW YEAR. MAY 2014 GLITTER LIKE GOLD, SHINE LIKE SILVER AND PROSPER LIKE PLATINUM FOR YOU. 

GOOD LUCK AHEAD!!!!

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WILL GOLD CROSS THE $1400 MARK

-By Mr. Prithviraj Kothari, MD, RSBL (RiddiSiddhi Bullions Ltd.)

Is something wrong with market? Yes that's exactly what traders and investors were discussing. Gold has just touched $1400 which was once seen an untrue level after the fall. Will it be able to cross it and reach new highs is what the below given factors can forecast.

The main highlight for this week was the depreciating rupee. Initially the markets expected rupee to return from the level of 62. Then they claimed 64. But the rupee made new low of 65 against the dollar. Now it is expected to depreciate further to 70. However, by Friday evening rupee returned to the levels of 63.90

The economy is facing a slump. Inflation is at a high, growth has hampered and equities have shattered.

Although the government has been trying its level best to intervene at all critical levels and control the rupee, nothing seems to be helping.

This drop in the rupee pushed gold and silver upwards.

Strong US Dollar and rise in treasury yields were seen pressuring the commodity movement to certain extent. In the United States, ten-year treasury yields climbed to 2.92%, the highest since July 2011 after FOMC minutes were failed to give any further details on tapering monetary stimulus. Investors hope that the Central Bank may start tapering its monetary stimulus later this year.

Gold prices in the global market edged up on Friday after weekly US unemployment claims recorded an upward movement. However, concerns over the withdrawal of US monetary stimulus were seen pressuring the yellow metal prices to certain extent.

Gold jumped to a 11-week high, topping $1,400 an ounce in spot trading, as sales of new U.S. homes fell more than forecast, boosting speculation that the Federal Reserve will maintain economic stimulus. Sales of newly built homes in July plunged more than 13 percent, the most in more than three years, government data showed today. The 394,000 annualised pace compared with a drop to 487,000 forecast by analysts in a Bloomberg survey. Fed policy makers said they are “broadly comfortable” in scaling back debt purchase if the economy strengthens.

By Friday evening gold was seen trading at 1397$ up by 21$ and silver was up by 95 cents, trading at 24.07$

In the physical markets, renewed labour unrest in South Africa sent platinum and palladium higher on Thursday, and this too, provided an element of support to both gold and silver.

By Friday evening, in the domestic markets too we saw gold and silver rocketing. Gold climbed by INR 750 trading approximately at INR 31,900 per 10 gram and silver was up INR 2200 reaching a high of INR 53,400 per kg.

The fact that gold managed to reverse its losses and close modestly higher on the day was quite impressive and likely had something to do with the fact that better-than-expected Chinese data which suggests that the economy is stabilizing, potentially a positive in terms of future Chinese gold demand

Another report that caught attention was the World old Council's gold consumer demand report. The impressive thing to note was that Gold consumer demand rose by more than half in the second quarter of this year thanks to strong demand in China and India, the World Gold Council (WGC) said.

In India, the Gold Trade holds steady in spite of the government imposing import tax hikes on gold in an attempt to reduce the country’s current account deficit. In fact, according to the WGC, gold jewellery, bar and coin demand in India alone was 70 percent stronger in the second quarter of 2013 compared to the same quarter last year.

Consumer demand in China continued to show strong growth, totalling 276t in the second quarter, a rise of 87% compared to the same quarter last year, as investors used the lower gold price to buy in advance of expected future price rises. Jewellery demand in the quarter was 153t, up 54% on the same quarter last year, while bar and coin investment was 123t, up 157% on Q2 2012.

Recent falls in the gold price have boosted demand significantly – it rose 53 percent in the April-June period from the same three months of last year, the WGC said in a report on Thursday.

Looking at the good monsoons of India and the festive season closing by, the domestic prices for precious metals need to be watched closely. Whether supply will be able to meet the demand will be the question that every Indian attached to precious metals will be having in their mind. 

“The primary purpose of this blog by Prithviraj Kothari - MD, RSBL, is to educate the masses of the current happenings in the Bullion world.”

- Previous blog -

"Precious Metals on the Run"

http://riddisiddhibullionsltd.blogspot.in/2013/08/precious-metals-on-run.html

WAVES OF DISAPPOINTMENT FOR THE MARKET

-By Mr. Prithviraj Kothari, MD, RSBL (RiddiSiddhi Bullions Ltd.)

As we discussed last week that this week had a bundle of surprises for gold of which the US employment data was the biggest surprise. There were mixed sentiments in the market post the data release. Investors believed that the jobless claims would be much high compared to June.

Moreover Fed Chairman Bernanke's statement over the stimulus plan created even further confusion.

There was mystification in the market as the jobless claims were 326,000, below the forecast of 346,000 while the private sector ADP change in non- farm payroll came in at 200,000 well above the forecast 179,000.

A weaker-than-expected U.S. July jobs report and a fall in the dollar helped gold rebound from a drop of more than $25 an ounce during Friday’s session, but prices still marked the first weekly loss in four week.

Gold initially fell to a two week low at $1280 an ounce as encouraging US gross domestic product and factory activity data earlier in the week reduced the metal's appeal as an investment hedge.

It jumped about  2 percent from its session low after government data showed U.S. employers slowed their pace of hiring in July but the jobless rate fell anyway, easing fears that the U.S. central bank might imminently reduce its $85 billion monthly bond buy back stimulus.

Gold’s hard times have come from the view that easy money, which has weighed on the dollar and lifted gold in recent years, is going bye-bye sooner or later.

US jobs data is vital to the gold market after the US Federal Open Market Committee indicated that quantitative easing may continue until the unemployment rate falls to 6.5 percent. The Fed remains committed to purchasing $85 billion in new debt per month in an open-ended programme (QE3). Accommodative measures from the US central bank are supportive of commodity prices because extra liquidity tends to debase the dollar and create future inflationary risk.

I am optimistic over the long-term time frame. Targeting inflation, the Federal Reserve's inability to taper, and underlying problems in Europe will make sure precious metals will outperform down the stretch. The nonfarm payrolls data usually brings volatility to gold, but the metals just haven't had enough upside momentum to constitute a breakout, so till that time it will be wait and watch.

In other gold market news, China’s thirst for physical metal remains strong. Imports from Hong Kong at 105 tonnes in June were down slightly from 114 tonnes in May but this was still the fourth-biggest month on record, according to Macquarie, citing Hong Kong export data. Apparent demand from China at 835 tonnes is up more than 50 percent on last year, the broker estimates.

However demand from India has not picked up pace as there are no clarification over the RBI policies for gold and the government is trying to curb g0ld imports to rectify the CAD.

As far as the international markets are concerned, it’s going to be a light week for U.S. economic news, but globally, next week will include a few more central bank meetings including the Reserve Bank of Australia, which is expected to cut rates. The Bank of Japan is also meeting, but is not expected to make changes to monetary policy.  Chinese data slated for release include industrial production, retail sales, export data and inflation report.

Gold support is at $1,280 and $1,260. Resistance is at $1,320 and $1,340. Silver support is at $19.20 and $19.05, resistance is at $20.20 and $20.40.

In the domestic market gold is expected to move in the range of Rs.26,000 to Rs. 29,500 in the coming week.

“The primary purpose of this blog by Prithviraj Kothari - MD, RSBL, is to educate the masses of the current happenings in the Bullion world.”

- Previous blog -

"Bundle of surprises for gold"

http://riddisiddhibullionsltd.blogspot.in/2013/07/bundle-of-surprises-for-gold.html

INDIA'S FIRST EVER GOLD PLATED BIKE LAUNCHED BY RSBL DIA JEWELS!

Presenting to you India's first ever gold plated bike.

This bike is India's first fully Gold Plated bike and decorated aesthetically with diamonds. The gorgeous Huma Qureshi herself was present at the inaugration and unleashed the bike.

This bike is available for display at the Times Glamour Exhibition at Hotel Shangri- La, Lower Parel,  from 26th- 28th July from 10am - 7pm ( Stall no 18.)


“The primary purpose of this blog by Prithviraj Kothari - MD, RSBL, is to educate the masses of the current happenings in the Bullion world.”

- Previous blog -
"Bundle of surprises for gold"
http://riddisiddhibullionsltd.blogspot.in/2013/07/bundle-of-surprises-for-gold.html

BUNDLE OF SURPRISES FOR GOLD!

-By Mr. Prithviraj Kothari, MD, RSBL (RiddiSiddhi Bullions Ltd.)

Currently the entire market is in a confused state of mind as far as gold is concerned.
The market has split in two parts. Some say gold will rise while the others take an opposite stand.

This week we came across some interesting figures in gold:

1. On Friday, gold was trading at $1340 - almost $160 higher than the three year low of 1179$ that it hit on June 28
2. Gold has risen consecutively for the third week until Friday and also its first three weeks rise since March.
3. On the other hand, in terms of value gold has also lost a fifth of its value as investors lost faith in gold.

Many buyers also indulged in profit-taking by cashing in from gold's Friday session high of 1340$.

Initially, Fed chairman Bernanke has stated that the Fed may scale back its $85 billion monthly bond purchases. But now there is no clarity on the timeline for this activity as he further states that scaling back of the stimulus program depends on the recovery of the US economy.

The market now digests news that Russia, Ukraine and Azerbaijan were among eight countries that increased their gold holdings in June, data from the International Monetary Fund showed, while Turkey, Germany and seven other countries shed some of their bullion.

As far as the Asian markets are considered, China's gold demand could hit a record 1,000 tonnes this year, the World Gold Council said on Thursday, which means it would overtake India as the world's biggest bullion consumer.

But investors still have a mixed basket of feelings for gold. The appetite to carry large positions overnight may decline ahead of the next crucial week of data.

The U.S. Federal Reserve will announce its policy decision on Wednesday, as will the European Central Bank and Bank of England on Thursday — and on Friday, the U.S. Labour Department will release its widely watched monthly jobs report.

Now what we have to wait and see is that whether these vital reports will pull down gold or push it up.

Demand from India has taken a setback but is now expected to rise. Monsoons play a key role for demand coming in from rural areas. Also August marks the onset of the festive and marriage season. But since the government has taken measures to curb imports, in spite of physical demand there isn’t much gold available in the market to meet the demand. 

Gold support is at $1,321 and $1,307. Resistance is at $1,340 and $1,355. Silver support is at $20.78 and $19.40, resistance is at $20.70 and $20.90.


“The primary purpose of this blog by Prithviraj Kothari - MD, RSBL, is to educate the masses of the current happenings in the Bullion world.”

- Previous blog -
  "Gold Has Found A Support"
 http://riddisiddhibullionsltd.blogspot.in/2013/07/gold-has-found-support.html

GOLD HAS FOUND A SUPPORT!!!

                                 - Mr. Prithviraj Kothari (MD, RSBL:RiddiSiddhi Bullions Ltd.)

I am sure every single reader who follows Bullion market will agree when I say; this week belonged to Ben Bernanke’s statements. Bullion has slipped more than 22% this year on the Fed's hints that its monthly bond-buying program may end altogether by mid-2014.

Fed Chairman Ben Bernanke eased some market nerves by telling the U.S. Congress this week that the central bank's plans to scale back asset purchases later this year were not set in stone and depended on the strength of the economy.

He further stated that the U.S. central bank still expects to start scaling back bond purchases later in the year, but left open the option of changing that plan if needed. These statements were enough to support bullion prices and gold gained strength, even when the data flowing out of US has been considerably positive for the growth of economy. In July, jobless claims sharply fell by 24k thus reaching 334k. The US Philly Fed Index rose again from 12.5 in June to 19.8 in July. 

The recovery of the US economy is bound to pull down demand for gold and silver as safe haven investment option, which will then affect its prices.

I have a different perspective for the Gold price. Because of the lower gold prices now prevailing, which make many operating gold mines and projects uneconomic, we are already seeing fallout among producers with cutbacks, shutdowns and postponements.  As a result global gold production is likely to decline until there is a major pickup in the metal price.  

The lower price also discourages scrap sales which have thus been diminishing too.  Meanwhile the huge demand for physical gold seems to be continuing a pace. Russia has been the biggest gold buyer in the official sector in the past decade. A shift by central banks from major sellers of bullion to net buyers has been a major support to the gold market in recent years.

Gold took a stab at the $1,300/oz level earlier in the week, although it encountered strong resistance on approach of this level and has since sunk back lower. Gold has been receiving strong support in recent weeks from physical buying (especially from Chinese buyers); however, this physical buying is waning, and becomes especially thin on approach of $1,300/oz.

Physical demand for gold from the top consumer India remains dull due to stiff measures taken by the RBI to curb imports with a view to tackle the widening current account deficit. End of peak marriage season and weak domestic currency is also restricting buyers to be active but enduring good monsoon may provide firm support to prices later. 

According to the Indian Meteorological Department, the present state of the monsoon was 16% above a 50-year average during the June 1- July 16 period. A good monsoon brings strong harvests and given the fact that 70% of India’s Gold demand is from rural areas, should keep imports on a firm note going into year end.

Market participants were now awaiting a G20 meeting in Moscow over the weekend, which will likely focus on recent financial market volatility. Attention will then turn towards a series of crucial U.S. economic data, which analysts said will give more clues about the timing of the Fed's stimulus tapering.

Many traders and investors in Europe and North America are gearing up for their summer holidays, which could made for generally quieter, summer doldrums-type trading conditions until after the U.S. Labour Day holiday in early September.

Gold support is at $1,274 and $1,265. Resistance is at $1,305 and $1,320. Silver support is at $19.20 and $19.05, resistance is at $19.70 and $20.20. Platinum support is at $1,405 and $1,390. Resistance is at $1,418 and $1,437

In the domestic market the trade range for gold for the coming is between Rs. 26,000 to Rs. 28000 per 10 gram and for silver between Rs. 39000 to Rs. 40000 per kg.

"The primary purpose of this blog by Prithviraj Kothari - MD, RSBL(RiddiSiddhi Bullions Ltd.) is to educate the masses of the current happenings in the Bullion world."

~ Previous Blog: 
"Hold on to your Gold" 
 http://www.riddisiddhibullionsltd.blogspot.in/2013/07/hold-on-to-your-gold.html

HOLD ON TO YOUR GOLD!

-  Mr. Prithviraj Kothari (MD, RSBL:RiddiSiddhi Bullions Ltd.)

Gold in the spot market was up 4.8% for the week, thus stating its biggest weekly gain since October 2011. Gold rose by 2.62% to $1280.1 on Thursday and silver also increased by 4.13% to $19.95.

The markets were moved by the U.S Fed's speech on 10th July, Bernanke spoke after the markets closed on Wednesday. He said that the US economy desires a highly accommodative monetary policy for the likely future. He also suggested that the tapering of the QE3 programme does not means that monetary policy would be tightened or the interest rates would be raised.

The FOMC minutes reviewed that many Fed governors would like to see more signs of improvement in jobs before agreeing to tapering. Both risky assets and gold reacted positively to the dovish comments by the Fed. The most recent weekly jobless claims in the U.S. unexpectedly rose by 16,000 to 360,000. 

On Friday, among other precious metals, silver fell 1.1% to $19.87 an ounce. Platinum inched down 0.1% to $1,402.99 an ounce, while palladium gained 0.1% to $716.97 an ounce. Gold pared losses after government data showed that U.S. producer prices rose more than expected in June, increasing gold's inflation-hedge appeal. 

Gold supply remains tight with current market prices now below the highest cost of production. Miners are writing down asset values and cutting back on costs. As prices move lower, it will come to a point where supply and demand economics take over.

Gold's reaction was limited after Cypriot President Nicos Anastasiades said he hoped there would never be a need for the island to sell its gold reserves, an assessment stipulated in an international bailout for Cyprus.

Meantime in India – the world's heaviest gold-buying nation – the government's new campaign against household gold demand was challenged today by the jewellery industry, as well as market analysts. A number of jewellery units and workers have been idled due to the severe shortage of gold in the wake of several restrictions on the yellow metal’s import.

Imports in April and May together were a little over 300 tonnes. This fell to 38 tonnes in June. Excess imports in May gave some initial relief but that cushion is long gone.

Starting off next week, we have Chinese Q2:13 GDP data out early Monday. This number is generally not as important for precious metals as it is for other commodities. However, given that it is well known that Asian physical buying (particularly from China) has provided a crucial crutch for gold amid Fed tapering concerns, we could see a more marked reaction from precious metals than is usually the case. There is considerable risk that this number will disappoint (Bloomberg consensus: 7.6% y/y), although this time the market might not react as violently as it did in April — the market might be buoyed to some extent by hopes of stimulus, after Chinese Premier Li stated earlier this week that economic growth and employment must stay above a certain floor.

I expect gold prices to finish 2013 at around USD1,300/oz and rise mildly in 2014 and 2015. In the long term, uncertainty will continue to plague global markets as the international financial system adapts to a changing world economy. Gold will continue to play an important portfolio role for investors

"The primary purpose of this blog by Prithviraj Kothari - MD, RSBL(RiddiSiddhi Bullions Ltd.) is to educate the masses of the current happenings in the Bullion world."
-Previous Blog-
"Dollar Drags Down Gold" : 
 http://riddisiddhibullionsltd.blogspot.in/2013/07/dollar-drags-down-gold.html

FED'S POLICY STATMENTS – Predictable I feel?

-By Mr. Prithviraj Kothari, MD, RSBL (RiddiSiddhi Bullions Ltd.)

Why did the financial world react in this manic-depressive way to a statement that was bland and predictable? Why do investors keep gambling vast sums of money in speculations on changes in monetary policy when Bernanke has tried to make crystal clear that significant changes are unlikely, at least until the end of the year? I think no one would have any clue with respect to these questions.

As always the effect on Gold is felt in a big way. Gold fell for a third straight session on Thursday after U.S. Federal Reserve Chairman Ben Bernanke hinted at reducing an $85 billion bond-buying programme, which has increased the precious metal’s appeal as a hedge against inflation. While Bernanke said the central bank needs to see further progress in the U.S. economy before the Fed scales back monetary stimulus, he also added that a decision to adjust it could come in the “next few meetings” if the economy looked set to maintain momentum. Down nearly 20 percent this year, gold could come under more selling pressure as investors increasingly price in a stimulus cut ahead of the Fed’s next policy meeting on June 18-19.

But Gold markets did manage to regain some composure yesterday. We saw a steady climb towards the $1,400/oz level until the US market opened. Some profit-taking took the US market lower, although a recovery soon took the price to a relatively stable trading range, just above $1,390/oz. The stability continued during Asian trading, with the price remaining in a very tight band of around $1,390/oz to $1,395/oz.

As pointed out earlier, I do feel that more upside for gold is in the offing. Even taking a slowing of Fed quantitative easing into account, we still feel that the environment remains supportive of a higher gold price—global liquidity should continue to grow, although maybe at a slower pace, and real long-term interest rates across the globe look set to remain low for some time still. Nevertheless, I cannot discount the investor apathy towards the metal and acknowledge that it will take some doing to restore confidence. Consequently, while I do still foresee upside for gold, these gains will most likely be hard won. The first challenge will be to push strongly past the $1,400/oz hurdle.

Physical demand remains strong in the major Gold consuming countries, where China has seen a daily increase in physical trading volumes. How tight the physical market still is, is reflected in the premium of 50 USD still paid today in Shanghai over the international price. Premiums in India started to cool off, as the weaker Rupee drove local Gold prices up and some Gold has restarted to be imported into the country, however rather sluggishly. Top gold buyer India, which had seen gold imports jump 138 percent in April, is facing a slowdown as the peak wedding season comes to an end and its central bank imposes new rules to reduce a deficit. 

There is no doubt gold is still one of the attractive assets at present as economic uncertainty is not over across the developed world. Federal Reserve has created money, but that money has not been circulated into economy as banks are still tentative to flood the market with easy money. Economists are apprehensive that when this money will be circulated, inflation may trigger in a big way. But that theory will be tested when the actual event happens.

The Fed will probably want to see six months of strong employment and at least two quarters of 3 percent gross domestic product growth before it seriously considers tightening. In the meantime, big market reactions to comments from the Fed chairman, like those Wednesday, will mostly be reversed – expensively for those investors who replace analysis with wishful thinking.

In short, there are still reasons to buy gold; there are reasons to hold gold; there are reasons not to go aggressive in investment. So, my gold may remain in a range ($1325-1550/oz) till September (German Election may be the next trigger).

“The primary purpose of this blog by Prithviraj Kothari - MD, RSBL, is to educate the masses of the current happenings in the Bullion world.”

- Previous blog -
  "Is gold losing its safe haven appeal" 
http://riddisiddhibullionsltd.blogspot.in/2013/05/is-gold-losing-its-safe-haven-appeal.html

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A truly unique service that Sparsh – touch of elegance will provide to its clientele is Buy back facility. It’s one of the first of its kind where a client can exchange their old jewellery of Sparsh – touch of elegance with a new one from its store.

Sparsh – touch of elegance jewellery is as inimitable as you, while the jewels are uniquely yours for these are designed especially for you. So, feel special with Sparsh – touch of elegance jewellery. With Sparsh – touch of elegance from RSBL DIA Jewels, RSBL shall continue to provide you with similar levels of service, upholding the same values and the commitment. 

I am glad that people of India now say, what is the RSBL price of Gold rather than Gold price. RSBL has strived hard to provide transparent benchmark prices for Gold. My motto has always been “Make products that meet customer needs”. Looking at the current pricing scenario of the Diamond jewellery market, I felt it is high time that we have a brand that people can trust, that provides value for money and most importantly provides transparent prices so that they can buy without any hesitation. Like Gold, diamonds have always given good returns. I am proud to bring Sparsh – touch of Elegance collection to you.

                                                   

Showroom Address: RiddiSiddhi Bullions Ltd, Bullion House, 115, Tambakata Lane, 2nd Floor, Opp Dagina Bazaar, Pydhonie, Mumbai - 400 003. India.

Web: http://rsbldiajewels.co.in/

RECORD BREAKING DROP FOR GOLD AND SILVER IN A SINGLE DAY

-By Mr. Prithviraj Kothari, MD, RSBL (RiddiSiddhi Bullions Ltd.)

Gold and Silver dropped drastically on Friday. Gold was down by 6 percent and silver 8 per cent. Gold was running at a 15 month low at $1484 and dropped by almost 80 dollars in a single trading day.

By Friday evening, gold dropped by Rs. 1050 per 10 gram and was trading at  Rs. 28180  while silver dropped by Rs. 2350 and was trading at 49,350 per kg in the Indian markets.

Even after markets closed, gold in the international markets dropped on Friday mid night. Gold slided around 20 dollars further late in the night.

This downfall effect was seen in the domestic markets on Saturday. Gold dropped by Rs.300 trading at Rs. 27900 and silver dropped by almost Rs. 900 trading at Rs. 48900.

The main reason cited behind was gold sell off by central bank. Some 158,200 taels of gold bullion ( roughly six tonnes) were sold in six auctions held by the State Bank of Vietnam.

There were news that as soon as the international markets opened, Merryl Lynch sold 4 million ounces of gold.

Heavy ETF selling was also seen in the markets.

What triggered panic selling amongst investors was a statement by Draghi. During a press conference he said that while Cyprus doesn’t have to sell its gold, any money that is raised from the sale must go towards covering the losses from the emergency loans to country’s banks.

This resulted in panic selling.

The important  US data released on Friday gave an indication that US wholesale prices aren't rising. Any such signal will prompt investors to sell Gold.

The next target for gold is 1450$ as gold is expected to decline further on the lines of a strengthening US economy.

“The primary purpose of this blog by Prithviraj Kothari - MD, RSBL, is to educate the masses of the current happenings in the Bullion world.”


- Previous blog -
"RSBL launches E coin trading system for the first time in Andhra Pradesh"
http://riddisiddhibullionsltd.blogspot.in/2013/04/rsbl-launches-e-coins-trading-system.html