India is one of the largest consumers of gold. Wedding season in the country can have a huge impact on gold prices as demand increases since gold jewelry is heavily bought during this season.
People invest in gold, they save it, and also give it in the dowry. However, India alone can't dictate gold prices. China is very close as it has recently surpassed India as the largest consumer of the shiny metal.
These two countries together can cause gold prices to surge. Moreover, other Asian countries, such as Pakistan, also play an important role as the demand for gold is very high there as well.
According to reports, the situation is similar in Singapore where there has been a sudden interest in the buying and selling of gold. This demand is playing a great role in causing gold prices to surge.
The situation is pretty unique in China where the government is urging the growing population to invest in gold. If you look at Indonesia, you will find that smaller gold bars are in demand there. Buyers seem to be turning to gold to protect their savings against inflation.
Vietnam is another country where it has become a popular choice. It's being used to trade goods in some parts of the country and many are also hoarding it.
Many also credit the current pandemic for the surge in gold prices. The yellow metal has broken all previous records and is at an all time high. Gold prices are sailing around the $2,000 mark but many expect it to surge past the $2,500 mark if things do not improve in the next few weeks.
The global economy is pretty weak and it can take up to five years for things to settle down. Investors consider gold a safe haven, and there has been a lot of interest in gold. If you're looking to invest in gold, now is the time.