Two separate events across two of the biggest nations in the world are currently influencing the buying patterns of retail gold as well its prices on the bourses.
by Shivom Seth
MUMBAI (Mineweb) – In India, the country plays host this fortnight to the mourning period for dead ancestors (Shraadh) in a period which is generally considered highly inauspicious for starting anything new, like buying a house, getting married or even buying gold.
In neighbouring China, on the other hand, the Golden Week holidays are on (Sept 30-Oct 7). The time is ripe for retailers to roll out the incentives, which is leading to a massive jump in sales across bullion counters.
One would have thought that the inauspicious nature of the fortnight in India would have led to a massive decline in gold sales, casting a shadow on the purchase of gold jewellery. However, the contrary is true.