Gold Prices Set for MAJOR Surge? Expert Predicts 20% Jump Amidst Central Bank Buying & Wedding Season Demand!

Author

Satyam Jha | Whalesbook News Team

Detailed Coverage:

Chetan Mehta, Chairman and Managing Director of Laxmi Diamonds, anticipates a significant rise in gold prices, potentially by another 10-20% within the next two to three months. This forecast builds on an existing 10-15% increase observed since Diwali. The projected surge is driven by sustained global buying activity from central banks and investors. Mehta noted that investment purchases have outpaced jewellery demand this year. However, he expects the upcoming wedding season to significantly boost jewellery sales. A key trend involves customers exchanging old gold for new, larger pieces, which constituted 40-50% of Diwali sales and are projected at 20-25% this quarter. Diamond demand remains stable, with smaller and mid-weight diamonds performing well, indicating a consumer shift towards diamonds for their wearability and long-term value.

Impact: This news suggests potential increases in gold prices, which could impact inflation and consumer purchasing power in India. Strong demand in the gems and jewellery sector would benefit related businesses. The evolving consumer preference towards diamonds also signals a market shift. Impact Rating: 7/10.

Difficult Terms: Volatility: Rapid and unpredictable changes in price or value. Central Banks: Institutions that manage a country's currency, money supply, and interest rates. Investment Buying: Purchasing assets like gold with the expectation of future profit. Jewellery Purchases: Buying ornaments or decorative items made from precious metals and stones. Solitaires: A single, large diamond, typically set alone in a ring.