Well, to be honest, we must accept that we are surely in for yet another
eventful year in terms of global economic uncertainty and the never-ending
developments attached with it. Slowly and steadily market participants
have gathered hope that somewhere down the line the world's largest economy,
the US, will eventually fall on track of positive growth. This optimism,
coupled with high expectations and forecast of rise in demand for commodities, is
adding to the upside that we are witnessing currently. From bullion to energy
and base metals, the commodities space is enjoying a joyride which is actually
not in line with the prevalent global economic scenario.
For a layman as well, the fact is intimidating on the back of rise in
joblessness in the US. Until now, Asians were migrating to countries like the US,
UK and Eurozone for better job prospects. But the layoff scenario in these
countries has now made us aware that the economic scenario is grim and that
on our journey from Asia to the Western world, our seat belts must be
tightened well enough in order to cope with the heavy economic turbulence. All
this may sound like serious economic gyan, but my dear friends, the scenario is
not all that rosy as it seems. That is one reason why bullion prices have
risen sharply in the last year. Since economic uncertainty has led to a poor state
of affairs, gold and silver are seen as safe-haven assets. Despite stable
economic growth in the Asian counterparts, economic contentment has not
been achieved, as the Western world economies are suffering a much extended
economic crisis.
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