Wedding Season Boosts Gold Jewellery Demand Amid Volatility

Gold jewellery demand is expected to remain strong despite volatility in gold prices, according to Anantha Padmanaban, Chairman and Managing Director of NAC Jewellers. The company sees a boost from the upcoming wedding season and expects customer activity to improve as gold prices ease.

The recent price movements have affected buying patterns, but demand has started to pick up again. Gold prices touched $4,000 and then spiked to around $4,200 before drifting back down to near $4,300 now. Padmanaban notes that when the price was high, business was good, but it slowed down when prices jumped further.

The company expects a strong boost from the upcoming wedding season and does not expect consumers to significantly reduce jewellery purchases despite calls to curb gold imports. Padmanaban also suggests that government measures to encourage the recycling of existing gold could help reduce dependence on imports.