Gold jewellery demand predicted to rise
Tuesday, 16th March 2010 (2322 views)
Demand for gold jewellery will increase this year following a period of low growth, according to one expert.
Dominic Schnider, analyst for UBS, says that gold jewellery sales tend to rise after a delay following soaring prices for the precious metal, the National Post reports.
He notes that gold jewellery demand is already beginning to pick up in markets like India and predicts that sales will see a 20 per cent increase compared with last year.
Indeed, a recent forecast from the All India Gems and Jewellery Trade Federation suggested that Indian gold jewellery sales could rise by up to 30 per cent during the Akshaya Tritiya festival in May, which is believed to be one of the most auspicious days of the year by Hindus.
"With the solid economic recovery in emerging markets, wealth creation should provide the basis for demand growth and pent-up demand to find its way to the market," Mr Schnider comments.
