Winter Gold Sale…
We are at the beginning now of an historic turning point. Bank of America Merrill Lynch released a report showing that since 2001gold bottomed between mid-June and mid-July before rebounding to late in the year matching similar research repeating this phenomenon in all but 2 of the last 27 years, a 93% correlation. Such is the power of the Indian market, a large driver of this trend is the Indian festival (Diwali) and wedding seasons. You could throw in too that most sharemarket crashes (seeing a flight to gold) happen in that September / October period. The graph below puts this into clear perspective. So in effect we are having our end of financial year or winter gold sale right now!