Page 14 - Bullion World Issue 5 Sep 2021

Bullion World | Issue 05 | September 2021

warehouse.

Chirag Thakkar: If you see the
cycle from the pre-covid or from the
general level of the warehouse stock
position. This august expire of all the
stocks are dried up in the exchange.
This is a clear indication of physical
demand coming up otherwise the stock
which was there in the exchange would
never dry up. This is what we have seen
in the last nine months or a year, the
stock is already coming and it is going
in the exchange in the terms of physical
demand either in the retail market or
physical market. We have seen in this
history that whenever prices go up the
demand dries up.

Vipin Raina: Yes the demand has
picked. We have seen MCX warehouse
stock almost coming to zero. All silver
that suppliers were holding in Free Zone
have been sold. New lots in free zone Mr. Vipin Raina
will not arrive before Sep/Oct. Banks are MMTC-PAMP
currently importing silver by Air. We will
see silver trading at a high premium in
that silver ETF would do very well in Chirag Thakkar: With uncertainty
the physical market in coming days.
India. and economic events happening with

There is a possibility that covid situation and post covid scenario,
Chirag Thakkar: Silver ETF will we are not sure if we are struck and the
India would soon have the most positive move if SEBI allows. If third wave may come along. It is totally
silver ETF. What is your we talk about Gold ETF when it started uncertain. There is talk about the fed
view on the same? it was not picked up well, but now it’s rate increase in the coming year. With
Suresh Hundia: In India, we had the preferred product of investment for so many situation keeping in mind I
seen launch of gold ETF, and digital gold. the retail investors. If SEBI gives the would say the range would be around Rs
Initially, Gold ETF had a good demand green line for the same, it will be a very 58000-65000 for the next quarter.
nice instrument in which a retail investor
and at one point about 43 tonnes of gold
can come in and invest in the silver. It’s
was accumulated under it. However, Vipin Raina: Silver currently is
the most transparent trading, what else
as price of gold increased, gold ETF trading below Rs 65000 in India. My
would a healthy market need.
demand dropped. Digital gold has just take, for short term say for a month or
started. So, need to watch. so the prices should remains below Rs
Vipin Raina: Silver ETF will be good
65-66000. If silver supply becomes an
In my opinion, silver ETF would be very for the Indian market. issue (silver by sea), then the prices will
successful. For investors, storing and go up because of demand and supply
moving silver is a challenge. Also, unlike What is your view on price mismatch. In long terms say 6 month
gold, investment requirement in silver of silver going forward? down the line the price of silver should
is lower but silver offers higher profit Suresh Hundia:Till Diwali, I see the price go above Rs 70000
potential. So, investors in India would of silver in the broad range between Rs.
prefer silver ETF. So, I am very optimistic 55000/kg to Rs. 68000/kg.

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