Is gold a commodity? Why or why not?




Gold is traded as a commodity but primarily it is a monetary asset. It counts up to more than 75% of gold's total accumulated holdings when it comes to 'value for investment’ by central bank , big private players and high-carat jewelry. The remaining accumulated gold deposits are as a commodity for jewelry in Western markets and usage in industry. It is a highly liquid market. It is argued that the real price of gold is should be driven by stock equilibrium rather than flow equilibrium due to large stocks of Gold as against its demand.
The urge for gold in India is too high. Gold and Silver jewelry forms a major component of the gifts given to a woman at the time of marriage. Gold is also referred women best friends as it proves its worth in times of financial crisis.
If you want to generate good returns on investment, a more suitable option would be to opt for a commodity. There are various advisory companies such as Bazaar trading, 100 MCX and many more. I would recommend from my successful trading experience KheloMCX provides accurate commodity tips on basis of fundamental and technical analysis.

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