New Delhi [India], September 17 (ANI): Festive season demand, cultural buying, and GST reforms could drive gold jewellery purchases in India, even as the metal trades at record highs, according to a report by Mirae Asset Mutual Fund.
India and China remain key markets for jewellery, together accounting for over 50 percent of global demand, the report noted. A recovery in consumer spending and stimulus measures may also revive urban jewellery purchases in China.
However, the report cautioned that with gold priced above USD 3,500–3,600 per ounce, price elasticity may limit demand recovery. “We expect gold would likely move upside from the current level and remain cautiously optimistic with caveats triggering in corrections,” it stated.
Gold continued its strong performance in August 2025, closing the month at USD 3,429 per ounce, marking a 3.9 percent monthly gain and pushing its year-to-date rise above 31 percent, according to the World Gold Council (WGC). The metal is now hovering just above USD 3,700 per ounce, driven by a weak US dollar, strong inflows into gold-backed ETFs, and persistent geopolitical tensions, WGC noted.
In India, Multi-Commodity Exchange (MCX) prices are around Rs 109,000 per 10 grams, reflecting robust investment demand and steady domestic appetite at high levels.
For silver, which surpassed USD 30 per ounce in 2024 and has maintained momentum, the report noted that the “trend structure remains constructive; pullbacks into support zones offer tactical entry opportunities.” Industrial use accounts for nearly 60 percent of total silver demand, with applications in semiconductor fabrication, 5G, IoT, and AI data centers, and growing usage in AI servers.
“Emerging applications in battery technologies (silver-zinc, silver-ion) and energy storage reinforce long-term demand,” the report added. (ANI)
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