Indian gold discounts widen as price volatility hits demand during holiday season
Gold demand in India remains weak this week as price fluctuations deter buyers despite the wedding season. Major Asian markets stay closed for holidays.
Bullion dealers in India 
IN have widened discounts on gold to as much as $18 per ounce as volatile prices continue to damp retail and investment demand. This represents a significant increase from the previous week, when discounts were reported at up to $12 per ounce. The widening gap comes amid large intra-month price swings, including record intra-month highs and lows, which have contributed to a cautious atmosphere across the gold market / precious metals sector.
IN have widened discounts on gold to as much as $18 per ounce as volatile prices continue to damp retail and investment demand. This represents a significant increase from the previous week, when discounts were reported at up to $12 per ounce. The widening gap comes amid large intra-month price swings, including record intra-month highs and lows, which have contributed to a cautious atmosphere across the gold market / precious metals sector.The weakening appetite among Indian jewellers and retail buyers follows a period of robust activity at the start of the year. According to the Association of Mutual Funds in India, India's gold exchange-traded funds experienced a surge in January with inflows totaling 240.4 billion rupees. However, that momentum has shifted, and demand has weakened this month as market participants grapple with ongoing price instability and shifts in ETF flows.
