Gold: Enter now if you can hold for 7-8 years, maintain allocation

New investors should also minimise entry cost by purchasing on corrections

On Tuesday (August 11), gold closed at $1,912 per ounce in the international market, 5.7 per cent lower than its previous day’s closing price. It has since recovered 1.8 per cent to $1,947 per ounce (Rs 52,662 per 10 grams in the Indian market). The yellow metal’s extended bull run appears to have been halted temporarily. While gold prices might continue to climb, the journey henceforth could be more volatile.

This week’s correction was triggered by news of Russia launching a vaccine against the Covid-19 virus. Easing of US bond yields, firming up of the dollar index, and profit-booking by