India's Jewelry Stocks Plunge After PM Modi Urges Citizens to Avoid Gold Purchases for One Year

According to金十数据, on May 11, Prime Minister Narendra Modi called on Indians to avoid purchasing gold jewelry for at least one year to protect the country's foreign exchange reserves. Modi stated on Sunday: "For one year, under no circumstances should we buy gold jewelry." He also urged citizens to reduce fuel consumption and unnecessary overseas travel.

Following Modi's appeal, shares of major Indian jewelry manufacturers fell sharply on Monday. Titan Co., India's largest jeweler, dropped 6.6%, while Senco Gold and Kalyan Jewellers India declined 10.8% and 9.5%, respectively.