Buyers stay away amid uncertainty as market remains sluggish, says All Kashmir Gold Dealers Association
The continuous and unpredictable rise in gold prices has significantly affected demand across Kashmir, with buyers adopting a wait-and-watch approach amid ongoing volatility in the market.
“Daily spikes in gold prices have severely impacted demand. Buyers are holding back in anticipation of stability, leaving the market largely sluggish,” said Bashir Ahmad, President of the All Kashmir Gold Dealers and Workers Association, while speaking on the current market situation.
Gold dealers across the Valley report a sharp decline in footfall at jewellery shops, traditionally bustling during peak wedding and festive seasons. The frequent fluctuations in rates have created uncertainty among consumers, discouraging both investment purchases and ornamental buying.
Traders say that customers are hesitant to make big-ticket purchases, fearing further price corrections or sudden hikes. “People are coming to enquire about rates, but very few are actually buying. Everyone is waiting for prices to stabilise,” a Srinagar-based jeweller said.
The association has urged policymakers to monitor global and domestic factors influencing gold prices and take measures to ensure greater market stability. Industry stakeholders believe that sustained volatility could further strain small traders and gold workers, many of whom are already facing reduced incomes.
Gold has traditionally been considered a safe investment in Kashmir, but dealers warn that prolonged instability may alter buying patterns and push consumers to delay purchases indefinitely.
Meanwhile, traders remain hopeful that with improved price stability, consumer confidence will return, reviving demand in the coming weeks.
“Daily spikes in gold prices have severely impacted demand. Buyers are holding back in anticipation of stability, leaving the market largely sluggish,” said Bashir Ahmad, President of the All Kashmir Gold Dealers and Workers Association, while speaking on the current market situation.
Gold dealers across the Valley report a sharp decline in footfall at jewellery shops, traditionally bustling during peak wedding and festive seasons. The frequent fluctuations in rates have created uncertainty among consumers, discouraging both investment purchases and ornamental buying.
Traders say that customers are hesitant to make big-ticket purchases, fearing further price corrections or sudden hikes. “People are coming to enquire about rates, but very few are actually buying. Everyone is waiting for prices to stabilise,” a Srinagar-based jeweller said.
The association has urged policymakers to monitor global and domestic factors influencing gold prices and take measures to ensure greater market stability. Industry stakeholders believe that sustained volatility could further strain small traders and gold workers, many of whom are already facing reduced incomes.
Gold has traditionally been considered a safe investment in Kashmir, but dealers warn that prolonged instability may alter buying patterns and push consumers to delay purchases indefinitely.
Meanwhile, traders remain hopeful that with improved price stability, consumer confidence will return, reviving demand in the coming weeks.
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