Indore: A recent correction in gold prices, which had surged to all-time highs, has brought some much-needed relief to consumers, especially during the peak wedding season. However, despite the drop, gold prices remain elevated, limiting additional purchases, while jewellers are keeping their inventories low.
In Indore’s bustling Sarafa market, domestic gold prices hovered around Rs 88,000 per 10 grams on Wednesday, after reaching a record high of Rs 89,000 earlier.
Ankita Raghuwansi, a homemaker from Indore, shared her perspective: “Gold prices are exorbitant, but there’s no alternative to gold. It’s a mandatory purchase for weddings, and this tradition is deeply embedded in our culture. Even the slightest correction in prices is beneficial as it helps us save some money.”
Gold is considered auspicious and is traditionally gifted to the bride and groom during weddings, and it is also a popular purchase during festivals.
Anil Ranka, a jeweller from Sarafa, pointed out the impact of the price correction: “Although there has been a slight dip from the all-time highs, it hasn’t triggered a significant increase in purchases, as prices are still above Rs 88,000 per 10 grams. We are seeing some improvements in purchases, especially from families hosting weddings. However, many buyers are now setting budgets and buying only what they can afford.”
The Sarafa market, which primarily caters to rural customers, houses around 1,000 shops. Due to the volatility in gold prices and a slowdown in demand, jewellers are maintaining minimal stock levels. Currently, light-weight jewellery is the most popular choice among buyers, according to traders.
Despite the price corrections, the market remains cautious, with jewellers adjusting to both high price fluctuations and changing consumer buying patterns.
