Gold investment in India to remain strong if prices dip: WGC

By siliconindia   |   Friday, 20 February 2009, 23:20 IST
Printer Print Email Email
New Delhi: Gold price touches its peak resulting into a decline in the consumer demand. Meanwhile, once the price goes down consumers in India may show great interest to buy gold as an investment in 2009, finds a study by World Gold Council (WGC). In the report WGC noted, "The combination of gold's safe heaven appeal and extreme uncertainty surrounding other asset classes should see consumers continue to take advantage of any dips in the price. The investment motive to buy gold in India remains strong." As per the report, fewer wedding days in the current quarter as compared to the same quarter of 2008 will have negative impact on gold demand. Gold prices reached at a record 15, 750 per gram on February 18. WGC also pointed that high gold price may trigger higher levels of scrap recycling.