Temperature in Ahmedabad has only got hotter while the equity and bullion markets have chilled down. In the last one month, the price of gold has climbed by `1,200 or 4.21%, rupee depreciated by  `2.32 or 4.53% against dollar and Sensex has fallen by 766 points or 4.55%.
Thanks to global factors and weakening of currency, after rising by  `25, the yellow metal touched a new peak of  `29,700 per 10 grams in Ahmedabad, just  `300 away from the  `30,000 mark.
In global markets, gold has seen bearish trend this week but in city, the price of the precious metal has risen continuously in the last one month. However, silver has stood stable and is being traded between  `55,500 and  `56,500 per kg.
The equity market, which has become victim of policy paralysis, is struggling even to maintain its present level. Sensex and Nifty have fallen by more than 4% in the last one month. On Friday, Sensex tanked 320 points to close below the crucial 17,000 level for the first time in over three months after the government said it is considering a review of the tax treaty with Mauritius that sparked intense selling across sectors.
Nifty, the 50-share index plunged to an intra-day low of 5,070.60, before ending at more than three-month low of 5,086.85, a steep fall of 101.55 points, or 1.96%, over its last close. The government's remarks added to the weak FII sentiment, already dampened by lack of clarity on the issue of General Anti Avoidance Rule (GAAR) and huge depreciation in the rupee.
The depreciating rupee, which is hurting the sentiments of financial markets, opened sharply lower at 53.65/66 and further plunged to 53.92 amid sluggish equities and fears of more capital outflows after reports that government is reviewing taxation treaty with tax-haven Mauritius.
But Pramit Brahmbhatt, CEO, Alpari India believes that RBI helped the currency to recover. "Huge oil importers demand and FII outflows kept the rupee on its front foot but the RBI speculation aided to recover the lost ground. The markets have also been in oversold zone and active buying has intensified late rise in rupee," he said.
Stock market expert and analyst, Pranav Shah of Purvi Investments suggests investors to stay away from equity markets for a while. "Gold is the best investment avenue. If
possible, as of now, investors should stay away from stock markets as there is more room for downward correction, while bullion, for whatever reason, is likely to continue its bullish trend,"saidShah.