Indian gold investment demand rose 12% quarter over quarter in July-September, while jewelry demand by volume fell 20% year over year, World Gold Council data show; the figures end before Friday's Dhanteras occasion.
Indian jewelry demand totaled 99.9 tonnes in the third quarter, down 20% by weight from a year earlier, while its value increased 16% to ₹1.487 trillion, the council reported. The average domestic gold price was ₹148,891 per 10 grams, up 45% from the same quarter of 2025. The data end Sept. 30 and do not include Dhanteras purchases.
For the first nine months of 2026, gold investment demand was 4% lower than a year earlier, compared with an 18% drop in jewelry demand. EconoTimes previously covered the decline in Indian jewelry demand.
On Nov. 6, the India Bullion and Jewellers Association (IBJA) listed its PM indicative rate for 999 fine gold at ₹14,145 per gram, or ₹141,450 per 10 grams. The rate excludes India's 3% goods and services tax and making charges. Reuters separately reported local gold at about ₹141,800 per 10 grams that day. It said gold had touched ₹137,863 earlier in the week, its lowest level since March 24, and put the 2026 record at ₹180,779. Reuters did not specify the purity, pricing basis or quote time for its Nov. 6 figure, so it is not directly comparable with IBJA's indicative rate.
Surendra Mehta, IBJA secretary, told Reuters that “lower prices coincided with Dhanteras.” Reuters also reported that drought conditions had weakened rural buyers' purchasing power. It said stronger gold imports could add to India's trade deficit and weigh on the rupee.
In its global third-quarter review, the council discussed gold's role in spreading portfolio risk for investors in European-listed gold ETFs. It linked that appeal to concerns about sovereign debt, inflation and government finances. The council also said higher U.S. Treasury yields, a stronger dollar and a Federal Reserve rate hike can make gold less attractive relative to assets that earn interest.
For holders of the 2019-20 Series I Sovereign Gold Bond, the Reserve Bank of India's schedule lists Nov. 9 as the opening of the premature-redemption request window and Dec. 11 as the redemption date.
