Quite the opposite, demand for diamond and colored gemstone jewelry that requires stronger and extra reasonably priced 14 to 18 carat gold – and never 22-carat gold used for pure gold jewelry – has picked up, they stated.
“Reviews from jewellers in numerous elements of the nation present that there was a drop of 25% in demand for the reason that costs crossed ₹63,500 per 10 gm,” stated Surendra Mehta, nationwide secretary of India Bullion & Jewellers Affiliation.”Demand will solely decide up if the gold costs fall to ₹61,000 per 10 gm,” he added.
The present surge in gold costs has been propelled by the US Federal Reserve’s dovish stance on benchmark rates of interest. The Fed maintained established order on charges at its December assembly however signalled a potential 75 foundation factors fee cuts in 2024, up from its earlier projection of fifty foundation factors.
This triggered a considerable drop in US treasury yields and the US greenback, propelling gold above $2,000 an oz..Some jewellers stated they’re now pushing studded jewelry the place the margins are as much as 3x increased than plain gold jewelry.”Quantity-wise gold has fallen, however value-wise the gross sales stay sturdy,” stated Ramesh Kalyanaraman, govt director at Kalyan Jewellers. “For example, if somebody was shopping for 100 gm of gold, then he’s shopping for 95 gm of gold. However there’s a fixed curiosity among the many younger crowd for studded jewelry. For a lot of marriage ceremony rituals within the run as much as the precise marriage, individuals are shopping for studded jewelry,” he stated.
Within the price-sensitive japanese market, jewellers are witnessing a surge in demand for studded jewelry for the upcoming marriage ceremony season. “Quantity-wise, there’s a drop of 7-8% in gold jewelry,” stated Sanjay Banka, chief monetary officer of Senco Gold & Diamonds. “Individuals choose light-weight jewelry. However the demand for diamond studded jewelry is on the rise,” he added.
