Indian Gold Demand Falls 6%, Value Hits Record Amid High Prices

India's gold demand moderated in Q2 as consumers continued to buy despite historically high prices. According to the World Gold Council, India's total gold demand declined 6% year-on-year to 131.4 tonnes during the quarter.

The value of demand, however, rose 50% to a record Rs 1,98,100 crore, reflecting elevated gold prices. Jewellery demand fell 15% to 75.1 tonnes, while bar and coin demand increased 9% to 50.3 tonnes.

Gold ETF demand also rose 49% year-on-year to 4.2 tonnes. The World Gold Council expects the festive and wedding season to support demand, although elevated prices and a weak monsoon could remain headwinds.