The price of gold crossed a historical maximum of just above RS 98,500 for 10 grams for 99.9% purity or 24 carats, and almost RS 90000 for 99.5% purity or 22 carats, this week. The unprecedented increase in the price of gold has endangered medium and small jewelers, and many report that about 20 percent of business loss.
Gold prices continue to increase as global uncertainty persists, with the commercial war of the United States and China that interrupts supply chains and fueling fears of inflation and recession. While markets deal with the thesis risks, gold has reinforced as reliable coverage. However, for small buyers, the increase in prices has tasks of their purchasing power.
The situation is equally worse for small traditional goldsmiths. Many were already struggling to remain in the professional due to the fungus of large jewelry stores. For them, price increase is a double blow. Gold merchants believe that prices will rise more and it is a good time to invest in yellow metal. But how feasible it is the purchase for small and medium consumers is a question that has begun to be answered.
Posted on April 21, 2025
