In my previous article on why gold is in a bear market, I stated mostly its because of higher interest rates. Higher interest rates creates lower demand for gold and in 2020 one of the biggest buyers of gold, "India" we can see the demand for gold is down, 42% as compared to last year.
Gold demand was at 315 tons in 2020 for India as compared to 544 tons in 2019. So with corona virus and the lockdowns in India the demand for gold buying by fathers of brides in India we can see why gold is trending down.
I also believe because of rising interest rates we will continue to see demand for gold as a safe haven go down. I think in late Fall we may see a reversal but time will tell.
Here in a link to the article on gold demand in India
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