Gold News: Indian Sales Plunge 50 Percent

Gold Jewelry

Indian gold sales are down 50% this year according to early reports.  As regular readers know, your friendly Gold Enthusiast watches the Indian retail gold market closely, especially during its marriage season. Still, a drop this precipitous is worse gold news than we’d bargained for. 

This year we knew things would be different, given India’s tax restructuring and steps toward reducing money laundering. High-end sales appear to be hit the most, which makes sense as the Indian government took away large-denomination cash bills.  And there are signs the market is trying to shift toward cash sales, avoiding credit card purchases.  Normally this would be seen as people trying to avoid the newly-restructured VAT taxes and possible government scrutiny of large purchases, but it may simply be a pause while people learn the new lay of the land.

It is still early days in marriage season, so we will keep an eye out for more reports as the season continues.  Today’s featured article explains the current situation in more detail.

Gold BullionRelated: Could Gold Prices Really Hit $10,000?!

About the author

Mike Hammer

Mike Hammer has had a wide-ranging career, with trading and investing as continuing themes. Mike graduated with a business degree and spent years as a financial advisor, before moving to New York and to pursue a career in IT and education. For more than a decade Mike has been working with the Adam Mesh Trading Group as a stock market and commodities mentor. He’s trained over 200 individuals, spoken at several national conventions, and is a frequent contributor to educational webinars.

Mike writes The Gold Enthusiast daily newsletter, runs the Golden Hammer trading service, and participates in the Mesh Private Portfolio. He also keeps a position in international education which keeps him in touch with "the student mindset".

Mike focuses on the precious metals markets, the energy industry, and the financial sector. His motto is "Plan your trade, then trade your plan!"

Leave a Comment