Gold and silver prices have seen significant increases due to global uncertainties, but Suvankar Sen, MD & CEO of Senco Gold & Diamonds, believes that demand for these metals will persist, even if prices remain elevated.

“There’s a possibility of a 7-8% upside in gold prices from the current levels,” Sen told CNBC-TV18.

He acknowledged that there’s a chance of a 7% price correction if geopolitical tensions, particularly around China and Taiwan, ease. However, he remains confident that demand will hold strong, regardless of price fluctuations.

“Once people have seen prices at ₹87,000-88,000 per 10 grams, any dip will attract buyers. Even if silver prices drop to ₹90,000 per kilogram after touching ₹1 lakh, buyers will still find value and continue purchasing,” Sen explained.
Sen’s optimism is grounded in both market behavior and cultural trends.

He observed that gold and silver, beyond being safe-haven assets during economic volatility, are deeply embedded in India’s traditions, especially during the wedding season.

“We saw healthy footfall in August right after the duty cut. Around 50-60% of current buyers are purchasing for wedding-related purposes,” Sen said.

Although sales slowed slightly in September due to Pitru Paksha, a period of reduced purchases, demand is picking up again as the festive season approaches.

“Many consumers are uncertain about future price movements, but they’ve already started buying. Dhanteras is approaching, and we expect more activity,” Sen shared.

He noted that buyers are divided between large wedding-related purchases and smaller, more frequent buys, particularly among working women and those with a budget of ₹50,000 to ₹1 lakh.