Precious Metals

Given that gold prices are rising, SGBs are proving financially burdensome for the government.

Gold has gained nearly +32% in USD term and +26% in INR term so far. But the future trajectory for gold would depend on…

Since Dhanteras 2023, gold has clocked an absolute return of 29.9% in INR terms and on a year-to-date basis in the calendar 2024, 23.9% as of October 24, 2024. Currently, SGBs are trading at a premium in the secondary market.

Since Dusshera 2023, gold has exhibited its sheen clocking a stunning 23.5% absolute return (as of October 9, 2024) and on a year-to-date basis in the calendar 2024, 18.5% in INR terms.

Premature redemption of the SGBs issued between May 2017 and March 2020, depending on the series or tranches, will be carried out in phases.

The RBI -- which is the issuing authority for SGBs on behalf of the RBI and announces the issuances of these bonds in four tranches in the financial year -- has made no announcement so far on the issuance of the SGB 2024-25.

Gold has had a dream run taking the price per 10 grams of gold to a historical high of over Rs 74,000 in the recent past. But change in customs duty on gold resulted in a price adjustment.

Gold is near an all-time high. Several factors are working in favour of the precious yellow metal, but is it worthwhile investing now?

Recently, gold made headlines by touching a record high, both in the Indian Rupee (INR) and U.S. Dollar (USD) terms.

As we walk into the new year 2024 various factors will have a bearing on gold.