Jewellery stocks tumble after Modi?s gold appeal

Jewellery stocks fell sharply on Monday after Prime Minister Narendra Modi urged citizens to avoid buying gold for the next one year.

Speaking at an event in Hyderabad over the weekend, Modi appealed to people to avoid gold purchases for weddings. The appeal was part of a broader push to conserve fuel and foreign exchange reserves.

The Prime Minister also urged people to reduce non-essential foreign travel, preferring work-from-home, cutting fuel consumption, lowering the use of imported products and promoting domestic goods.

The remarks weighed on sentiment across the sector. Sky Gold and Diamonds declined 10.03%. Senco Gold dropped 9.85%. Kalyan Jewellers India fell 9.41%, while Titan Company slipped 7.84%. Thangamayil Jewellery lost 5.67%. PC Jeweller was down 4.73%.

The comments came amid pressure on India?s gold imports. Reports indicated that gold imports in April may fall to their lowest level in nearly three decades after banks faced unexpected tax demands.

India is the world?s second-largest gold consumer. The country imported about 60 tonnes of gold a month on average in FY26, translating into a monthly import bill of roughly $6 billion.

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