Jewellery stocks glitter as gold slides to 2-year low

MUMBAI: Jewellery stocks were in limelight today, surging as much as 14 per cent, as gold prices plummeted to over two-year low of Rs 25,700 per 10 grams.

Shares of Gitanjali Gems surged 13.71 per cent, Shree Ganesh Jewellery House soared 11.79 per cent and Tribhovandas Bhimji Zaveri climbed 9.37 per cent.

Among others, Goenka Diamond & Jewels rose by 4.62 per cent, Rajesh Exports climbed 3.95 per cent and PC Jeweller was up 3.17 per cent on BSE.

"After continuing fall in gold prices, shares of gems and jewellery stocks rose sharply intra-day," said Bonanza Portfolio Head Wealth Management & Financial Planning Achin Goel.

Fall in gold prices may boost the revenue of these companies in view of heightened demand amid the forthcoming festive season.

Gold prices plunged by Rs 300 to trade at over two-year low of Rs 25,700 per 10 grams in the bullion market today, tracking a weak global trend amid slump in demand from jewellers and retailers.