Latest news with #WGC
Economic Times
a day ago
- Business
- Economic Times
Gold jewellery demand dips after wedding season but investment buying stays strong: Report
AI generated image for representation purposes. Jewellery demand succumbed to seasonal weakness in June and early July, following the conclusion of the wedding season, but investment demand for the yellow metal remained strong, according to a report by the World Gold Council (WGC). Persistently high gold prices further suppressed demand, prompting consumers to defer non-essential purchases and opt for more affordable alternatives such as lightweight, lower-carat, or studded jewellery. The trend of exchanging old jewellery to manage costs continued to gain traction, as per market reports. Meanwhile, the shift toward investment-oriented buying persisted, with a growing preference for gold bars, coins, and plain gold chains (seen as quasi-investments), which are favoured for their lower fabrication per anecdotal reports, demand has been concentrated in lower-grammage coins, particularly those weighing less than 10g, the WGC said in the report. Leading listed gems and jewellery companies delivered a strong performance in the April–June quarter, reporting year-on-year revenue growth between 18% and 31%. This growth was largely price-led, even as volumes remained flat or moderated. A 32% year-on-year rise in gold prices during the quarter and key festivals and wedding demand during April–May boosted sales gold prices saw consumers shift toward lighter, lower-karat jewellery, while retailers effectively leveraged old gold exchange programs to drive sales. Some companies reported that old gold exchange was involved in as many as 40% of their sales. Studded jewellery continued to gain traction, while digital channels and franchise-led formats saw expansion, highlighting the industry's evolving retail expansion continued, with corporate retailers adding between two and 19 new outlets during the quarter, increasing the footprint of organised players in the sector. Indian gold ETFs saw a significant surge in inflows during June, outpacing peers across Asia and likely driven by elevated geopolitical tensions in the Middle East, which reinforced gold's traditional resilient and strategic asset attributes. Net inflows soared to INR 20.8 billion (US$242 million), the highest monthly inflow since January 2025 and the second-largest on record, broadly in line with our initial estimated momentum has continued into July, with healthy inflows recorded in the first 10 days of the month. Data from the Association of Mutual Funds in India (AMFI) show that cumulative assets under management (AUM) in Indian gold ETFs rose to INR 648 billion (US$7.5 billion), an 88% year-on-year increase. Total gold holdings climbed to 66.7 tonnes, with 2 tonnes added in June and 9 tonnes in the first half of 2025.
Time of India
a day ago
- Business
- Time of India
Gold jewellery demand dips after wedding season but investment buying stays strong: Report
Jewellery demand succumbed to seasonal weakness in June and early July, following the conclusion of the wedding season, but investment demand for the yellow metal remained strong, according to a report by the World Gold Council (WGC). Persistently high gold prices further suppressed demand, prompting consumers to defer non-essential purchases and opt for more affordable alternatives such as lightweight, lower-carat, or studded jewellery. The trend of exchanging old jewellery to manage costs continued to gain traction, as per market reports. Meanwhile, the shift toward investment-oriented buying persisted, with a growing preference for gold bars, coins, and plain gold chains (seen as quasi-investments), which are favoured for their lower fabrication charges. As per anecdotal reports, demand has been concentrated in lower-grammage coins, particularly those weighing less than 10g, the WGC said in the report. Leading listed gems and jewellery companies delivered a strong performance in the April–June quarter, reporting year-on-year revenue growth between 18% and 31%. This growth was largely price-led, even as volumes remained flat or moderated. Live Events A 32% year-on-year rise in gold prices during the quarter and key festivals and wedding demand during April–May boosted sales revenue. High gold prices saw consumers shift toward lighter, lower-karat jewellery, while retailers effectively leveraged old gold exchange programs to drive sales. Some companies reported that old gold exchange was involved in as many as 40% of their sales. Studded jewellery continued to gain traction, while digital channels and franchise-led formats saw expansion, highlighting the industry's evolving retail strategies. Store expansion continued, with corporate retailers adding between two and 19 new outlets during the quarter, increasing the footprint of organised players in the sector. Indian gold ETFs saw a significant surge in inflows during June, outpacing peers across Asia and likely driven by elevated geopolitical tensions in the Middle East, which reinforced gold's traditional resilient and strategic asset attributes. Net inflows soared to INR 20.8 billion (US$242 million), the highest monthly inflow since January 2025 and the second-largest on record, broadly in line with our initial estimated flows. This momentum has continued into July, with healthy inflows recorded in the first 10 days of the month. Data from the Association of Mutual Funds in India (AMFI) show that cumulative assets under management (AUM) in Indian gold ETFs rose to INR 648 billion (US$7.5 billion), an 88% year-on-year increase. Total gold holdings climbed to 66.7 tonnes, with 2 tonnes added in June and 9 tonnes in the first half of 2025.
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Business Standard
6 days ago
- Business
- Business Standard
Stock Market LIVE: GIFT Nifty flat; Asian mixed; Axis Bank, Wipro Q1 eyed
Sensex Today | Stock Market LIVE on Thursday, July 17, 2025: Around 6:32 AM, GIFT Nifty futures were trading 14 points higher at 25,260, indicating a flat to positive start for the bourses. 7:14 AM Stock Market LIVE Updates: Corporate margins, earnings soar as mkt concentration rises across sectors Stock Market LIVE Updates: Corporate India has exhibited strong pricing power in recent years, resulting in a steady rise in profit margins across many sectors despite fluctuations in raw material and energy prices, and a persistent slowdown in revenue growth. The margin expansion has been most pronounced in the post-pandemic period. This improvement in corporate margins has coincided with a steady rise in market concentration in key domestic sectors, as larger players have captured greater market share, either through mergers and acquisitions or through organic growth. READ MORE 7:11 AM Stock Market LIVE Updates: SBI eyes ₹25,000 crore via record QIP, sets floor at 2.5% discount Stock Market LIVE Updates: State Bank of India (SBI), the largest lender in the country, has launched a share sale to institutional investors to raise upto ₹25,000 crore, the biggest qualified institutional placement (QIP) so far by an Indian firm, and has set a floor price of ₹811.05, which is at a 2.5 per cent discount on Wednesday's closing price. Separately, the bank's board approved another ₹20,000 crore fund raise by issuing bonds. Life Insurance Corporation, Singapore's GIC, Capital International, and ICICI Prudential AMC are some of the investors in the share sale, investment-banking sources said. This is the first QIP by the banking major since 2017, when it had raked in ₹15,000 crore. READ MORE 7:07 AM Stock Market LIVE Updates: Gold prices can rise up to 15% by December-end in bull-case scenario: WGC Stock Market LIVE Updates: Gold prices can rise up to 15 per cent in a bull-case scenario from the current levels, reaching $3,839 an ounce levels by December 2025-end, translating into an annual return 40 per cent, suggests a recent note by the World Gold Council (WGC). 'Should economic and financial conditions deteriorate, exacerbating stagflationary pressures and geoeconomic tensions, safe haven demand could significantly increase pushing gold 10 per cent – 15 per cent higher from here,' WGC said. In their base case scenario, WGC expects gold to remain range-bound in the second half of calendar year 2025 (H2-CY25), closing roughly 0 per cent–5 per cent higher than current levels, equivalent to a 25 per cent – 30 per cent annual return. The second half of the year, it believes, will keep investors on edge on account of geoeconomic uncertainty. READ MORE 7:05 AM Stock Market LIVE Updates: Donald Trump signals over 10% tariffs in India-US trade deal framework Stock Market LIVE Updates: United States (US) President Donald Trump has said that a trade deal with India would be on the 'same line' as that with Indonesia, which will face a 19 per cent tariff – thus suggesting that India, too, may have to brace for tariffs exceeding the 10 per cent threshold under the proposed interim agreement. 'We have another deal coming up, maybe with India,' Trump told reporters at the White House on Wednesday. 'We have some pretty good deals to announce.' Earlier on Tuesday, providing contours of the deal with Indonesia, Trump said the bilateral trade pact with Jakarta would result in tariff- and non-tariff-barrier-free access for American goods to the Indonesian market. In exchange, Indonesia will face a 19 per cent tariff on its exports to the US, down from the 32 per cent initially proposed last week. READ MORE 7:04 AM Stock Market LIVE Updates: Bernstein expects markets to consolidate; sees Nifty at 26,500 by 2025-end Stock Market LIVE Updates: After a sharp run from April lows that saw the Nifty 50 index rise nearly 13 per cent till date, analysts at Bernstein expect the markets to undergo a consolidation phase amid mixed macro-economic signals. They maintain a calendar year-end target of 26,500 for the Nifty 50, which is a modest 5.1 per cent higher from the current levels. 'It will not be heading directly to that level - we expect a bit of consolidation before the next move. From a sector perspective, we shift some weights from utilities to staples - moving into a tactical overweight for a short period,' wrote Venugopal Garre, managing director and India head of research at Bernstein in a coauthored note with Nikhil Arela. 7:00 AM Stock Market LIVE Updates: US markets settle mixed on Wednesday
Time of India
6 days ago
- Business
- Time of India
Gold outperforms other assets with 26% returns in H1 2025
Here's a quiz question you must answer without Googling: Which asset class yielded the highest returns in H1 2025? Gold. Returns on gold in the Indian currency between January and June this year were 26%. That was bettered only by gold purchases in the Turkish Lira—at 41%—World Gold Council (WGC) data showed. DEMAND DYNAMICS Explore courses from Top Institutes in Select a Course Category PGDM Digital Marketing others Data Science Project Management Healthcare Leadership Operations Management Finance Data Science Management Design Thinking Others MBA Data Analytics MCA Public Policy Cybersecurity Artificial Intelligence CXO Product Management Degree Technology healthcare Skills you'll gain: Financial Analysis & Decision Making Quantitative & Analytical Skills Organizational Management & Leadership Innovation & Entrepreneurship Duration: 24 Months IMI Delhi Post Graduate Diploma in Management (Online) Starts on Sep 1, 2024 Get Details China is one of the largest consumers of gold Consumers in China and India base buying decisions on local price of gold Regional prices often deviate from the international price, reflecting local dynamics in those markets, experts said Agencies OUTLOOK Second half is mixed Falling interest rates and continued uncertainty would maintain investor appetite, particularly via gold ETFs and OTC transactions Central bank demand likely to remain robust in 2025, moderating from its previous records Demand likely to stay well above the pre-2022 average of 500-600 tonnes, the WGC report said Elevated gold prices likely to continue to curb consumer demand & potentially encourage recycling This would act as a dampener to gold performance ETMarkets WhatsApp channel )
Arabian Business
6 days ago
- Business
- Arabian Business
Always believe in gold: Indestructible asset surges 26% in H1 2025 as dollar hits 50-year low
Gold has emerged as one of the top-performing global assets in the first half of 2025, soaring 26 per cent in US dollar terms, according to the World Gold Council's (WGC) Gold Mid-Year Outlook 2025. The surge coincides with the US dollar experiencing its weakest start to a year since 1973, reshaping global investment flows as investors seek something they can believe in. The WGC report highlights that gold remained indestructible and posted double-digit returns across nearly all major currencies and outperformed equities, bonds, and other asset classes. Gold price forecast Key drivers of the rally include a weakening dollar, rangebound interest rates, and growing geoeconomic uncertainty—conditions that have triggered a sharp uptick in investment demand. Gold had the power to rise and recorded 26 new all-time highs (ATHs) in the first half of the year, having broken through 40 new ATHs in 2024. Looking ahead, the WGC presents three potential outlooks for the second half of 2025 using its Gold Valuation Framework: Base case: A modest 0–5 per cent rise, assuming a gradual return to economic normality Bull case: A further 10–15 per cent increase if global conditions deteriorate or volatility surges Bear case: A 12–17 per cent decline if macroeconomic tensions ease and risk appetite returns With central banks continuing to diversify reserves and investors seeking safe-haven assets, gold's role as a strategic portfolio hedge remains in sharp focus.
