Gold Import Duty Hike: The prices of gold and silver are continuously increasing. Be it wedding season or investment, people are showing interest in buying gold for both reasons. But recently, after the government increased the custom duty on gold and silver, a new environment has been created in the market. Volatility in the shares of jewelery companies has increased and the question is arising in the minds of investors whether it would be right to invest now or it would be better to wait for some time.

Actually, when the government increases the import duty on gold, the gold coming from abroad becomes expensive. This directly impacts the jewelery business. Companies’ costs increase and sometimes customers’ purchases also slow down. This is the reason why many big jewelery stocks have seen a decline in recent times.

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Why are jewelery shares under pressure?
The biggest impact in the market is visible on those companies whose major business is based on gold jewellery. Investors fear that if gold prices increase further, common customers may reduce purchases. However, experts believe that the demand for gold in India never ends completely. Demand for gold remains due to festivals, weddings and family traditions. Therefore, despite the decline, many investors are seeing it as a long-term opportunity.

Buy Now or Wait?
If an investor wants to enter the market with the intention of making quick profits, then caution is necessary at this time. The ups and downs in jewelery stocks may continue for some time to come. But for those who invest for the long term, companies with strong brands are still considered good options. When the market falls, many investors look for an opportunity to buy good shares at a lower price.

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Which stocks should be kept an eye on?

1. Titan Company
Titan is counted among the largest and most trusted jewelery companies in the country. Its Tanishq brand is considered very strong. Many market experts consider it a safe option for the long term.

2. Kalyan Jewelers
This company is expanding its stores rapidly. Its hold is getting stronger even in small towns. However, there may be a little more fluctuation in this.

3. Senco Gold
This company, which has a good reputation in Eastern India, is also in the news among investors. There may be more risk in this, but the possibility of returns is also considered high.

Is investing in gold still a good idea?
Despite increasing economic uncertainty around the world, people consider gold as a safe investment. This is the reason why people’s interest in digital gold and gold ETFs is continuously increasing. However, currently gold prices are at a very high level, so investing without planning can also cause losses. The jewelery sector is certainly under pressure at the moment, but there are also opportunities for long-term investors. If you want to invest, avoid being hasty and focus on strong companies. There will always be ups and downs in the market, but wise decisions can benefit you.