Most jewellery stocks, including Kalyan Jewellers, Titan, and Augmont, suffered losses in intraday trade on Tuesday, 1 September, due to profit booking amid a decline in gold prices, a day after Prime Minister Narendra Modi’s appeal to avoid buying gold if not necessary.
Shares of Kalyan Jewellers plunged as much as 7% in intraday deals, while those of Augmont Enterprises crashed 6% on the BSE. Other jewellery stocks, such as PC Jeweller and Titan Company, declined 2% each during the sessions. However, shares of Senco Gold rebounded 3.3% from the previous close of ₹348.75 to hit an intraday high of ₹360.20 after opening 0.50% lower at ₹346.95.
PM Modi asks citizens to avoid buying gold
In a video message on social media platform X, PM Modi on Monday urged citizens to prioritise domestic products and consumption, avoid foreign trips, and not buy gold unless necessary.
PM Modi urged people to prioritise domestic products and consumption, and said, “The mantra of Swadeshi, Vocal for Local: foreign trips, if you go for sightseeing, should not be done. If you do weddings abroad, it should not be done. One should live by the mantra of ‘Wed in India’. And if it’s not necessary, then gold should not be bought either.”
The PM also lauded India’s 7.8% real gross domestic product (GDP) growth in the first quarter of FY27, describing it as a reflection of the “collective strength” of the countrymen.
According to experts, the PM’s appeal could aim to support the Indian rupee and conserve foreign exchange reserves.
Meanwhile, India’s foreign-exchange reserves climbed to a record high in the week of 21 August after recent measures by the Reserve Bank of India (RBI) to attract capital.
The RBI’s forex reserves gained by $12.4 billion to an all-time high of $729.3 billion in the said week, surpassing the previous high of $728.5 billion in February.
The rupee gained 16 paise to open at ₹95 against the US dollar on Tuesday.
India’s GDP grew by 7.8% for the June quarter of the current financial year (Q1FY27), despite the conflict in West Asia, the late onset of the southwest monsoon and uncertain US tariff policies.
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