Gold Price Trends in September 2020: Expert Predictions and Analysis
Greetings, friends! Based on the survey of experts, the price of gold is expected to show a gradual decline for most of September before it slowly picks up. For those interested, it is highly recommended to seek professional guidance to maximize returns. We hope this clears any doubts you might have.
All the very best and happy investing!
Expert Predictions for Gold Price Trends
Many gold analysts predict that gold prices will move to an uptrend and continue to increase. By 18-24 months, these analysts have revised their price targets to as high as Rs 65,000 per 10 grams. They are optimistic because fundamental factors such as lower interest rates, negative rates in some economies, massive liquidity, and expanded fiscal balances are expected to influence the price trend.
According to Nish Bhatt, the Founder and CEO of Millwood Kane International, we can expect precious metals to trade firm until the global cases of COVID-19 are under control or a vaccine is introduced, which is still a few months away.
Gold as a Key Portfolio Hedging Strategy
With gold prices on the rise, investors have embraced gold in 2020 as a key portfolio hedging strategy. Despite uncertainty, the pandemic is likely to have a lasting effect on asset allocation. As per a World Gold Council report, high risk, low opportunity cost, and positive price momentum are likely to support gold investment, offsetting any weakness in consumption from an economic contraction.
Tips for Timing Your Investment
Many experts suggest timing your investment carefully, given the volatility of the stock market and gold. For instance, in 2020, crisis periods often see gold and silver growth. Thus, it is an excellent time to invest, but patience is key.
Some analysts predict that gold prices in September 2020 might correct slightly but will see a good move in October. By November, gold prices are expected to outperform, with estimates suggesting a potential reach of 60,000 per 10 grams by the end of November. From this level, the prices might show a more gentle fluctuation towards the end of December.
Based on previous data, it is important to consider the historical correlation between equity market performance and gold prices. If the equity market shows no negative signs, it is logical to assume that gold will also present strong bullishness by November.
Conclusion
In conclusion, while the overall trend is expected to be positive, September 2020 may see some corrections. However, the longer-term outlook is optimistic, and professional guidance is crucial to optimizing your investment strategy. Happy investing and all the very best!