With gold prices nearing Rs 90,000 per 10 gm in the physical market without GST, Gudi Padwa's jewellery sales have fallen flat despite the demand for gold coins. Gudi Padwa, which falls today, marks the beginning of the Marathi and Konkani Hindu New Year, signifying new beginnings, the arrival of spring, and the harvest season with cultural and mythological significance.

Kumar Jain, a jeweller from Mumbai's Zaveri Bazaar, the largest gold hub in the country, said, "Consumers are buying gold coins more as they think that it is a good investment and the price of gold will move further in the coming days." Last year, during Gudi Padwa, the price of gold was at Rs 78,000 per 10 gm, which is now nearing Rs 90,000 per 10 gm.

Saurabh Gadgil, Managing Director of Pune-based PNG Jewellers, said, "During this Gudi Padwa Festival our outlets have witnessed demand in both coins and gold jewellery. The trend indicates that gold jewellery sales will be on par with last year. However, value-wise we will witness a 30 -35 per cent growth as gold prices have shot up."

Gold prices are rising as global trade tensions, uncertainty regarding Trump's reciprocal tariffs, and a risk-off mindset continue to fuel safe-haven flows. Bets that the Fed will resume its rate-cutting cycle shortly boost gold prices, explained Renisha Chainani, head of research at Augmont Gold.

Gold currently has the wind at its back. U.S. trade policy, U.S. fiscal policy, geopolitics, and a slowdown in growth are all blowing in the direction of gold. Uncertainty surrounding tariffs, the possibility of interest rate reduction, geopolitical crises, and central bank purchases have all contributed to gold's 18% ascent in 2025.

Courtesy: Economic Times