India’s Gold Demand Picks Up While Chinese Imports Hit 21-Month Low

Gold demand in India has begun to improve this week as prices retreated from record highs, though many buyers remain cautious.

Dealers reduced discounts to $12-$27 per ounce from last week’s $35. Meanwhile, Chinese gold imports via Hong Kong fell significantly in January, hitting their lowest level since April 2022.

India’s February gold imports are projected to plummet 85% year-over-year to a 20-year low, with tightening supplies as banks have barely imported any gold this month.