Dip in gold prices: Should you buy gold or silver now?

Gold is seen as a tangible asset by the Indian families and therefore buying yellow metal has become a part of India’s savings culture over generations. Recently, the Finance Minister Nirmala Sitharaman announced a reduction in custom duties on gold and silver in the Union Budget 2024-25. Sitharaman said the government has decided to reduce the customs duty on gold and silver to 6 percent and on platinum to 6.4 percent. 

The reduction in customs duty on precious metals has resulted in a significant drop in the prices of gold and silver. Needless to say, this reduction is being seen as a golden opportunity by the investors as this makes yellow metal a more attractive investment option.

Gold trade experts say that the government has reduced the custom duty on gold from 15 percent to 6 percent and this has brought down the yellow metal prices by Rs. 5,900/- per 10 gms. They say that festival season is also approaching, buyers should not waste this opportunity to buy gold at cheaper rates. 

The decrease in gold prices has made it more affordable for investors. This will likely boost demand for gold both as an investment option and wedding jewellery.  Notably, the gold prices are subject to fluctuations due to various global economic factors, geopolitical events, and investor sentiment.

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