MCX Gold, the most sought-after of all precious metals, is acquired throughout the world for its beauty, liquidity, investment qualities, and industrial properties. As an investment vehicle, MCX Gold is typically viewed as a financial asset that maintains its value and purchasing power during inflationary periods.
MCX Gold has a long and fascinating usage history in a diverse range of industries and applications. In each of the applications it is used, gold provides an outstanding performance due to its unique properties of being one of the most malleable and ductile metals with high melting point and easy recycle. MCX Gold is a material of choice in medicine and dentistry as it is bio compatible. In recent years it has emerged as a key nano-material. Global demand for gold is centered on four primary categories: jewelry, investment, central bank reserves, and technology.
Risk management is of critical importance for gold value chain participants, such as mining companies, processors, companies dealing in gold and gold products, jewelers, and even governments which rely on the proceeds of bullion consumption and trade. Modern hedging techniques and strategies, including market-based risk management financial instruments, such as gold futures, can improve efficiency and consolidate competitiveness.
► Above-ground supply of gold from central bank sales, reclaimed scrap, and official gold loans.
► Hedging interest of producers and miners.
► World macroeconomic factors, such as movement in the dollar and interest rate, and economic events.
► In India, gold demand is also influenced by seasonality, that is, marriage and harvesting. Accordingly the price fluctuates.
MCX Silver is a brilliant grey-white metal that is soft and malleable. The mining of silver began some 5000 years ago, with the first mine being in Anatolia (modern-day Turkey). The principal sources of silver are the ores of silver, silver-nickel, lead, and lead-zinc obtained from Peru, Bolivia, Mexico, China, Australia, Chile, Poland, and Serbia. Peru, Bolivia, and Mexico have been mining silver since 1546, and are still major world producers. Just over half of the mined MCX Silver comes from Mexico, Peru, China, and Australia, the four largest producing countries. Primary mines produce about one-third of the world silver, while around two-thirds come as a by-product of gold, copper, lead, and zinc mining. The top three silver-producing mines are Cannington (Australia), Fresnillo (Mexico), and San Cristobal (Bolivia). In Central Asia, Tajikistan is known to have some of the largest silver deposits in the world.
MCX Silver has innumerable applications in art, science, industry and beyond. At the highest level, though, demand for silver breaks down into three important categories: silver in industry, investment, and silver jewelry and decor. Together, these three areas represent more than 95% of the annual silver demand. With unique properties, including its strength, malleability, and ductility; its electrical and thermal conductivity; its sensitivity to and high reluctance of light; and the ability to endure extreme temperature; it is an element without substitution. Commercial-grade fine silver is at least 99.9% pure, and parities greater than 99.999% are available.
► Economic events such as India’s industrial growth, the global financial crisis, recession, and inflation affect prices.
► Geopolitical events involving governments or economic paradigms and armed conflict can cause major changes.
► Commodity-specific events, such as the construction of new production facilities, introduction of new processes, unexpected mine or plant closures, and industry restructuring, too affect the market.