Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.



Published on

Published in: Technology, Business
  • Be the first to comment

  • Be the first to like this


  1. 1. Basics on Gold
  2. 2. Why Gold? <ul><li>Gold is more than just another commodity, it a currency which evolved in the marketplace over the last 5000 years. </li></ul><ul><li>Gold is a finite resource. In all there are some158,000 tons (4.8 billion ounces) in the world. That equates to just 0.7 ounces per person. </li></ul><ul><li>Supply and demand mismatch. </li></ul><ul><li>Gold mining output has steadily decreased over the past decade. Last year alone, output decreased by 88tons. Overall, mining output of gold each year has declined by about 8 percent per year and it will likely lower as some of the world’s biggest mines in South Africa mature </li></ul><ul><li>There have been no discoveries of gold deposits recently and it can take up to ten years to bring a new mine to full production </li></ul>
  3. 3. Cont… <ul><li>Gold spot prices have averaged a 17 percent annual gain since 2004. </li></ul><ul><li>Gold spot prices tend to move in an inverse relationship with the value of the U.S. dollar. </li></ul><ul><ul><li>The U.S government’s debt levels are unsustainable. So dollar will depreciate once foreign investors decide to cash in their holdings in favor of other currencies or investment. </li></ul></ul><ul><ul><li>The U.S government is increasing the money supply at a record rate – a move that history tells us will cause inflation , further devaluing the dollar. </li></ul></ul><ul><li>Gold provides investors with a sense of security. It act as an insurance policy against the worst of all possible outcomes: war, famine and hyperinflation. </li></ul>
  4. 4. Cont… <ul><li>It is an inflation proof instrument </li></ul><ul><li>If you believe in “buy low, sell high”. Gold is still low, but climbing </li></ul>
  5. 5. Top ten gold producers <ul><ul><ul><ul><ul><li>1. South Africa </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>2. United States </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>3. Australia </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>4. Canada </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>5. China </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>6. Indonesia </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>7. Russia </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>8. PERU </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>9. Uzbekistan </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>10. Ghana </li></ul></ul></ul></ul></ul>
  6. 6. Gold Demand
  7. 7. Factors Affecting Gold <ul><li>Gold price increases when </li></ul><ul><ul><ul><li>Uncertain times </li></ul></ul></ul><ul><ul><ul><li>War and global tension </li></ul></ul></ul><ul><ul><ul><li>High Oil prices </li></ul></ul></ul><ul><ul><ul><li>Rising inflation </li></ul></ul></ul><ul><ul><ul><li>Terrorist Activity </li></ul></ul></ul><ul><ul><ul><li>Economic turmoil </li></ul></ul></ul><ul><ul><ul><li>Weak dollar </li></ul></ul></ul><ul><ul><ul><li>Central bank demand </li></ul></ul></ul>
  8. 8. Participants <ul><li>Speculators </li></ul><ul><li>Arbitragers </li></ul><ul><li>Producers </li></ul><ul><li>Investors </li></ul><ul><li>Hedgers </li></ul>
  9. 9. Why use gold future <ul><li>Liquidity – easy to enter and exit </li></ul><ul><li>Hedging – stock market risk, economic uncertainty, terrorism threat, currency fluctuation., </li></ul><ul><li>Need much less money to participate </li></ul><ul><li>Can eliminate cost of storage </li></ul>
  10. 10. To Trade online in Gold ….. <ul><li>Just add Gold Contracts under MCX segment in the existing Market Watch of your Trading Account with us. </li></ul><ul><li>If you need any assistance in placing orders… </li></ul><ul><li>Contact : 044-39180410, 044-39180411 </li></ul><ul><li>Email : [email_address] </li></ul><ul><li>Visit : </li></ul>