The value of gold is set to have a resurgence in the coming weeks and months, it is claimed.
According to a report by The Week, a move by the Reserve Bank of India to make it mandatory to export 20 per cent of imports is going to boost the price of the precious metal.
Traders and jewellers both stated that they expect the impact of the decision to send the value of gold rising.
Bombay Bullion Association ex-president Suresh Hundia said: "The exporter will be under pressure to export at any given price. If there is any export loss, the exporter will try to recover it from domestic sales."
The value of gold has been dropping for much of the year, but has seen a resurgence of late as investors turn back to the precious metal as a safe haven.
Michael Cuggino, who manages a multi-million-dollar portfolio of assets at Permanent Portfolio Family of Funds, recently told Bloomberg that support for the commodity is growing among investors.
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