In the Indian market, gold futures hit the highest since July 6, 2016, at Rs 32,311, earlier this week.

In order to cash in on the festive season, many jewellery houses have lined up attractive offers for buyers. Ahead of Diwali, jewellery firms such as Tanishq, PC Jeweller and Kalyan Jewllers have announced discounts on gold and diamond ornaments. Demand in India, the second biggest consumer of gold after China, usually strengthens towards the end of the year during the wedding season and festivals such as Diwali and Dussehra. Analysts see subdued demand for gold in the festival season, hurt by a below average monsoon and a rise in prices due to rupee depreciation.

Here are some of the offers announced by jewellery makers:

 

PC Jeweller is offering a five per cent  discount on its “Aksa Gold Bracelet”, it said on microblogging site Twitter. After discount, the bracelet is available for Rs 19,441, according to PC Jeweller’s website – pcjeweller.com.

 

The Tata Group-owned company is offering an up to 25 per cent discount on making charges of gold and diamond jewellery, it said on Twitter. Making charge is the fee a jeweler charges for providing the desired amount of gold in the preferred shape of the jewellery. It is primarily because of the making charge that the price of physical gold varies from one jeweller to another.

In the Indian market, gold futures hit the highest since July 6, 2016, at Rs 32,311 per 10 grams, earlier this week.

Two-thirds of India’s gold demand comes from rural areas. This year, monsoon rainfall was 9 per cent below average, denting output of key crops and thereby farmers’ incomes. 

Dealers offered discounts of up to $7 an ounce over official domestic prices this week, the highest since mid-June, compared with the $6 discounts last week. The domestic price includes a 10 per cent import tax.

“We saw some buying on dips in gold prices, especially from jewellers ahead of the Indian festival Diwali,” said Brian Lan, managing director at Singapore dealer GoldSilver Central.

(With inputs from Reuters)





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