The benchmark price for gold slipped below $1,700 an ounce in New York at the end of March, a nine-month low and a 3% drop from the beginning of the year. © Reuters

India's appetite for gold dulled by COVID lockdown

After missed opportunity, jewelers hope for November wedding boost

RURIKA IMAHASHI, KIRAN SHARMA and CK TAN, Nikkei staff writers

June 7, 2021 06:04 JST

TOKYO/NEW DELHI/SHANGHAI -- India's gold retailers who had put all their hopes on the annual festival season last month have been disappointed by sluggish sales after most parts of the country were locked down to fight an explosion of COVID infections.

They must now pin their hopes on the next big peak period after India's Monsoon season ends, hoping that the COVID crisis eases and that gold prices -- which have rebounded from lows in March -- remain favourable to encourage buying. Demand for gold from Indian buyers usually helps to underpin the gold price.