Dhanteras Special: Gold may hit ₹1.68 lakh per 10 grams - what it means for Titan, Senco Gold and other jewellery stocks

Gold prices could climb to ₹1.60 lakh-₹1.68 lakh per 10 grams in the domestic market over the next 6–12 months, according to a report cited by news agency PTI, keeping the precious metal and jewellery stocks on investors' radar.

The outlook comes at a time when gold prices have witnessed sharp volatility after scaling record highs earlier this year, even as sustained investment demand and central-bank purchases continue to support the longer-term outlook.

With consumers stepping up purchases on Dhanteras, shares of jewellery companies such as Titan Company and Senco Gold are likely to remain in focus.

However, the impact of rising gold prices on these companies is not straightforward: while higher prices can lift the value of jewellery sales, sustained price increases can also affect affordability, purchase volumes and consumer demand.

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Jewellers expect a 20-30% rise in gold and silver sales in value terms on Dhanteras on Friday, despite a sharp correction in prices from their January highs.

In volume terms, however, gold sales are likely to remain flat year-on-year, with consumers favouring lightweight jewellery and small-ticket purchases.

"In value terms, sales are likely to grow by 20-30%," All India Gem and Jewellery Domestic Council (GJC) Chairman Rajesh Rokde told PTI. "We are expecting flat growth in terms of volume compared to last year."

Rokde said the festival's timing could also help. Dhanteras at the start of the month, on November 6 this year, consumers will have salaries in hand. Still, high inflation driven by geopolitical tensions and drought-like conditions in Maharashtra could weigh on sentiment.

Senco Gold MD and CEO Suvankar Sen said the company is targeting growth of over 20% this festive season. Sen said buyers are being more experimental with designs and caratages while prioritising quality, value and versatility. Diamonds are growing 25-30%.

"While value-wise demand may remain similar to last year, we may see a slight decline in volume-wise sales of about 10%," Shah said, citing the rupee-dollar rate's impact on domestic gold prices.

Retailers are also rolling out offers and schemes to draw shoppers.

India is the world's second-largest gold consumer and one of the largest importers globally, after China.