Despite higher gold prices, shoppers say they’re still buying gold for Diwali, with many opting for smaller purchases.
The Story
Gold prices are continuing to rise ahead of Diwali, and some shoppers say the higher cost is changing how they shop for jewellery during the festive season.
One shopper said, “We are gonna buy gold for Diwali. Not too much, not too little, just enough. But for sure, the prices are up.” Another said they know prices are up and some people may back off, but added, “I know the prices are up and people will be backing off, but we will buy. Right now, we are on our way to buy gold.”
Gold sellers say the main shift is about size and quantity. Vikram Rana, owner of Rana Jewelers, said, “People used to buy bigger products, now they are buying smaller things but they are buying more of them.”
The change is also showing up in broader spending attitudes. A Bank of Canada survey cited in the report found that while Canadians feel somewhat better about their finances, they have weak spending intentions as inflation remains a concern. Economist Suki Badh said uncertainty is prompting consumers to be more cautious, describing smaller purchases as a symbolic gesture, with the amount bought decreasing and having a ripple effect.
TD is also part of the Diwali gold tradition, having offered Diwali-themed gold coins and bars for a decade. Anthony Herceg, Head of Retail and Precious Metals Distribution at TD, said the products are popular with customers, adding that, “Fast forward 10 years later, 10 designs later, and versions of various different symbols that celebrate diwali, we can’t keep it on the shelves.”
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