Gold Demand Softens Amid Price Volatility
The World Gold Council reported that gold jewellery demand has softened in recent weeks due to sharp price swings, prompting consumers to defer discretionary purchases and wait for greater price stability.
According to WGC Research Head, India, Kavita Chako, the strength in gold jewellery demand seen in the run-up to the festive season has softened over recent weeks. The sharp gold price rally in August, followed by a subsequent pullback, has left many consumers in a wait-and-watch mode.
Wedding-related demand, however, has remained relatively resilient, although anecdotal reports point to a structural shift towards lighter-weight jewellery. Large retailers have seen comparatively stronger demand and stepped up product launches, marketing initiatives, and promotional campaigns.