Gold jewellery continues to see decline in exports due to 'sluggish' markets such as the Gulf. But experts say overall gems & jewellery exports could touch $41 billion in 2021-22.
Marriage and festive demand, and high inflation are pushing gold imports. Decline in interest rates on savings instruments, and equity market issues could boost this further.
The likelihood of financial distress caused by the 2nd wave is much higher & it could lead to more outright sales of gold, unlike in 2020, when people chose to take out loans against gold.
Newspapers are filled with ads of gold jewellery auction amid indications of economic distress faced by Indian households. But resurgence in gold prices could stem the auctions.
The growth in India is coming from the 18-35 year old cohort. Latest World Gold Council data indicates Indian adults under age 34 have less appetite for gold than older consumers.
From Munir’s point of view, a few bumps here and there is par for the course. He isn’t going to drive his dumper truck to its doom. He wants to use it as a weapon.
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