Tomorrow is Akshaya Tritiya, considered an auspicious day to buy gold, silver and home appliances in the country. And jewellers are expecting up to 20 per cent increase in sales this time round, mainly on the back of positive market sentiments, stable prices and the ongoing wedding season.
On account of the increased buying by local jewellers to meet retailers' demand ahead of the festival at the domestic spot market, gold staged a smart recovery at the bullion market today. After losing Rs 100 yesterday, it climbed Rs 350 to Rs 32,350 per 10 grams (for 99.9 per cent purity). At the capital, gold of 99.5 per cent purity likewise shot up to Rs 32,200 per 10 grams. Sovereign, meanwhile, gained by Rs 100 to Rs 24,900 per piece of eight grams.
Bullion traders also attributed the recovery in the yellow metal's prices to a firm global cues following diversion of funds towards the safe-havens. The rupee's depreciation against the dollar also supported the uptick in prices, they added.
Globally, gold rose 0.01 per cent to $1,345.50 an ounce and silver by 0.06 per cent to $16.64 an ounce in New York yesterday.
At home, silver similarly rebounded by Rs 400 to Rs 40,300 per kg - and weekly-based delivery by Rs 290 to Rs 39,240 per kg - on increased offtake by industrial units and coin makers. Silver coins also recovered the ground lost on Monday by zooming up Rs 1,000 to Rs 75,000 for buying and Rs 76,000 for selling of 100 pieces.
"Market has now started picking up after the industry faced the Nirav Modi scam. We are witnessing young people now preferring long standing family jewellery stores who have been there from generations. Moreover, the monsoon was good last year, but the demand was muted, so there is likely to be a spill over of demand from last year to this Akshaya Tritiya. The overall mood is positive and we are expecting 5-10 per cent growth in sales over last year," Saurabh Gadgil, vice-president, India Bullion and Jewellers Association and CMD of PN Gadgil Jewellers told PTI on Sunday.
However, WHP Jewellers Director Aditya Pethe is a lot more optimistic, expecting sales to go up by 15-20 per cent compared to last year.
With PTI inputs
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