Indian Gold Prices Soar by 7% Amid Festive Season Demand
Gold prices in India have surged by 7% over the past 10 days, reaching Rs 1.52 lakh per 10 grams. This rapid increase has prompted consumers to begin purchasing gold ahead of the upcoming festive season.
Jewellers expect higher spending during this period, despite sales volumes being under pressure due to high prices. According to Joy Alukkas, chairman of Joy Alukkas Group, 'The price increase has prompted consumers to come out and begin purchasing the yellow metal as the rally in gold is expected to continue.'
Rajiv Popley, director of Mumbai-based Popley & Sons, noted that non-resident Indians (NRIs) are also buying gold during their July visits to attend weddings.
However, retailers have seen a decline in footfall. Saumen Bhaumik, managing director of CaratLane, stated that it's too early to draw conclusions as the festive season has not yet begun. Consumers are adapting to higher prices by gravitating towards lightweight designs and lower-carat gold.