India a giant economy Yes, by 2035! 839
India a giant economy Yes, by 2035! 840
economy then. India. a economy emergence have have gold Then My friend, let me repeat again, GOLD is...
Indians buy more gold for profit
Our Bureau Kolkata February 26, 2005 Rising bullion prices was no deterrent to the Indian gold jewellery segment in India as as sales soared in the third quarter of the current fiscal (Q3).
The World Gold Council (WGC) said good economic growth pushed up demand in India for both jewellery and retail investment by 49 per cent and 32 per cent in tonnage terms respectively in Q3.
In 2004, total Consumer Debt demand rose 17 per cent.
WGC said consumers became comfortable with gold prices in excess of $400-oz. and in fact increasingly expected prices to rise further, and therefore bought gold driven by anticipation of a price rise.
"Indeed the price rise appears to have added strength to the investment case for buying gold whether in coin, bar or jewellery form. World Gold Council promotional activity, including the Speak Gold campaign, had a notable impact on urban Consumer Debt demand," it said.
WGC said rural areas in states where people were hurt by the devastating saw a rise in gold sales as a financial safe haven.
Distribution of financial aid to victims fuelled gold buying in areas of Tamil Nadu.
"With day-to-day needs generally met by NGOs, the purchase of gold jewellery, which can be worn permanently on the person, is regarded as a safe way of holding money until it can be used constructively in rebuilding lives, and as a deterrent to it being spent on non-essentials," said WGC.
Early indications suggest a continuation of strong promotional-driven demand for gold jewellery in the last quarter of the current fiscal.
For the year as a whole however, economic conditions in 2005 are likely to be less favourable to jewellery than 2004, so sales growth may be weaker.
Industrial demand may also suffer.
In contrast, a weaker world economy and concerns over global imbalances and the dollar should, along with on-going political worries, favour investment in gold.