Gold holds near $4,604/oz as India import-duty rollback speculation dents demand

Spot gold stayed near $4,603.91 an ounce ahead of Fed Chair Kevin Warsh’s Jackson Hole remarks. In India, bullion discounts narrowed sharply as buying weakened amid speculation that a recent import-duty increase could be rolled back.

— Source publishedFri, 28 Aug, 2026, 14:16 IST·First seen Fri, 28 Aug, 2026, 14:21 IST·Source The Hindu BusinessLine

What happened

Gold held near $4,604 per ounce ahead of Fed Chair Kevin Warsh’s Jackson Hole remarks. In India, gold discounts fell sharply as demand weakened amid speculation

Key facts

  • Spot gold: $4,603.91/oz
  • Gold high: $4,696.18/oz
  • US gold futures: $4,657.10/oz
  • US PCE inflation: 3.7%
  • September US rate-hike probability: roughly one-third
  • December US rate-hike probability: 74.2%
  • Spot silver: $70.13/oz
  • Platinum: $1,878.58/oz
  • Palladium: $1,379.50/oz

Why this matters

Import-duty uncertainty makes Indian jewellery and bullion assets more policy-sensitive, favoring targets with flexible sourcing, inventory discipline, and lower exposure to discretionary gold demand.

What to watch

  • Official Indian government or finance-ministry statement on import-duty rollback, timing and scope.
  • Domestic India gold discount/premium versus international spot prices and its persistence after policy headlines.
  • Indian jewellery-chain quarterly commentary on same-store sales, wedding bookings, average ticket size and grams sold.
  • Rupee movement against the US dollar, which can offset or amplify any import-duty change in local gold prices.
  • Fed Chair remarks, real-yield and dollar reaction, and whether spot gold breaks materially above or below the recent range.
  • Festival and wedding-season advance bookings, especially the mix of lightweight jewellery, coins and recycled-gold exchanges.
  • Indian jewellery retailers increase lightweight, lower-carat and studded-product assortment to protect unit demand at high absolute gold prices.
  • Chains raise exchange, buyback and old-gold recycling promotions to source inventory and reduce working-capital exposure.
  • Bullion dealers and jewellers keep replenishment lean until import-duty guidance is formalized, reducing near-term wholesale throughput.
  • Organized retailers emphasize wedding bookings, installment plans and advance-purchase schemes to convert deferred demand without broad price discounting.