Gold falls behind silver and diamonds on Dhanteras 2024 due to high prices: Report

Gold sales fell in the middle of a rise in silver sales and demand for diamonds during Dhanteras 2024 due to a 30% rise in prices compared to last year

Gold sales fell in the middle of a rise in silver sales and demand for diamonds during Dhanteras 2024, Business Standard reported.

The shift came due to Gold prices already being quite high (Gold prices rose 30% since last Diwali) and silver being perceived as a more practical investment (Representational Image/Pixabay)

“Silver sales rose 33% today, while gold volume fell by 15%,” the report quoted Surendra Mehta, National Secretary of the Indian Bullion and Jewellers Association (IBJA) as saying.

The shift came due to Gold prices already being quite high (Gold prices rose 30% since last Diwali) and silver being perceived as a more practical investment, according to the report.

For instance, 10 gm of gold traded at ₹78,430 on Tuesday, which was up by 0.6% from the previous close.

When it comes to investments, Digi Gold, a platform for selling digital gold and silver got strong interest. It's even possible to do SIPs (systematic investment plans) using this platform on gold and silver. Silver is gaining popularity here too.

“We saw good interest in digital silver on our platform -- the only one offering digital silver," the report quoted Chirag Thallar, director at Amrapali Gujarat, as saying.

Digital silver sales were up 40% compared a year ago in terms of value, he added.

However, new designs and collections at leading jewellery chains such as Titan's Tanishq and Zoya, Kalyan Jewellers, and so on, have captured buyer attention, with Titan releasing more than 2,000 new designs.

This also comes amid a shift in preferences for the younger buyers towards diamonds, which include lab-grown varieties, offering a more accessible price point, according to the report. Apart from lab-grown diamonds, natural 14 or 18 carat diamonds are also becoming popular.