Even though gold hit new record highs of above $2,060 in August, real gold prices (the ones adjusted for inflation) are yet to hit record levels.
On top of that, the overview of the investment landscape points to equities being overvalued, which bodes well for gold in 2021.
Gold has done well in time of fiscal easing and more so when it is coupled with current account deficits widening. This year will be historic in taking the twin deficits to the unprecedented 25% of GDP.
From the mining perspective, gold supply is unlikely to rise significantly, which also favors more upside in gold.
Gold has the demand support while supply is unlikely to substantially go up. Coupled with a mining clock, there's significant upside on cards," it said. "Mining clock indicates the cyclical point based on the financials of corporates, and turns in a leveraging cycle coupled with an increase in cash flows, pointing at an upside in the gold prices.
On top of that, the overview of the investment landscape points to equities being overvalued, which bodes well for gold in 2021.
Gold has done well in time of fiscal easing and more so when it is coupled with current account deficits widening. This year will be historic in taking the twin deficits to the unprecedented 25% of GDP.
From the mining perspective, gold supply is unlikely to rise significantly, which also favors more upside in gold.
Gold has the demand support while supply is unlikely to substantially go up. Coupled with a mining clock, there's significant upside on cards," it said. "Mining clock indicates the cyclical point based on the financials of corporates, and turns in a leveraging cycle coupled with an increase in cash flows, pointing at an upside in the gold prices.
