Gold Seen With 12% Upside Potential as Silver Faces Resistance
Emkay Wealth Management is predicting that gold has a 12% upside potential and silver may face resistance at $68 to $74 per ounce. The wealth management firm says that both precious metals continue to retain their long-term appeal, supported by strong fundamentals, sustained central bank demand, and expectations of global interest-rate movements.
Vivek Choksey, Regional Manager at Emkay Wealth Management, believes that gold's recent correction should be viewed in the context of the broader structural rally. Gold and silver have demonstrated resilience despite profit booking and uncertainty around the interest-rate trajectory, with gold benefiting from its role as a strategic reserve asset and sustained central bank accumulation.
The report notes that gold ETFs delivered robust returns over one-and three-year periods, with HDFC Gold ETF, Kotak Gold ETF, and Nippon India ETF Gold BeES posting one-year returns of 43.47%, 43.53%, and 43.24% respectively. Silver has delivered even stronger returns, but its greater sensitivity to industrial demand and market sentiment makes it more volatile.