Business
Senco Gold, Kalyan Jewellers Among Biggest Losers on BSE
Investor sentiment weakens as Prime Minister calls for cutting gold buying and foreign travel to conserve foreign exchange
Shares of major jewellery companies witnessed heavy selling pressure on Monday after Narendra Modi urged citizens to postpone gold purchases and foreign travel for one year in view of the ongoing West Asia crisis and the need to conserve foreign exchange reserves.
The appeal triggered sharp declines across jewellery and bullion-related stocks on the stock market, with investors anticipating a possible slowdown in discretionary spending on gold and luxury purchases.
Among the worst-hit stocks, Sky Gold And Diamonds Ltd plunged 12.24 per cent, while Senco Gold dropped 11 per cent on the BSE.
Kalyan Jewellers fell nearly 10 per cent, and Thangamayil Jewellery declined 9.79 per cent
Other major players also suffered losses, including Titan Company, which fell 8 per cent, Tribhovandas Bhimji Zaveri, which slipped 6.83 per cent, and PC Jeweller, which lost 5.67 per cent.
Market experts said the Prime Minister’s remarks may temporarily weaken consumer demand for gold jewellery, especially for non-essential or discretionary purchases, leading to cautious sentiment in the sector.
Analysts also noted that concerns over global geopolitical tensions and their impact on foreign exchange reserves contributed to investor nervousness in gold-related businesses.
The jewellery sector remains closely tied to consumer spending patterns and festive demand, making it particularly sensitive to economic sentiment and policy signals.