India’s growing GDP is very important to gold’s rise, especially when it comes to the Love Trade. The math shows that an increasing GDP per capita in this part of the world has historically been linked to the rising price of gold.
Gold demand in China, India and the Middle East surged in the 12 months to September while European sales contracted, underscoring a shift in the global bullion market from west to east, according to the World Gold Council.
The London Metal Exchange, the world’s biggest industrial-metals marketplace, altered its rules to speed up withdrawals from warehoused stockpiles amid consumer complaints that prompted scrutiny from U.S. regulators.
Historically, September has been gold’s best month of the year. Looking at more than four decades of monthly returns, the precious metal has seen its biggest increase this month, averaging 2.3%. Will that trend continue?