India's 2020 gold demand may hit 26-year low as prices rally: WGC

Agencies
July 30, 2020

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New Delhi, Jul 30: India's gold demand in 2020 is expected to fall to the lowest level in 26 years with domestic bullion prices hitting a record high and as falling disposable incomes could curtail retail purchases, the World Gold Council (WGC) said on Thursday.

Lower demand by the world's second-biggest bullion consumer could limit a rally in global prices, which hit a record high earlier this month, although it could also reduce India's trade deficit and support the ailing rupee.

"Fast rising gold prices could act as headwinds," said Somasundaram PR, the managing director of WGC's Indian operations.

Local gold futures have jumped 35% so far this year after rising a quarter in 2019.

India's gold consumption in the first half of 2020 plunged 56% on-year to 165.6 tonnes. Meanwhile, the coronavirus-triggered lockdown also slashed demand by 70% in the June quarter to 63.7 tonnes, the lowest in more than a decade, the WGC said in a report published on Thursday.

Millions of Indians have lost their jobs or taken a pay cut after the country imposed a lockdown on its 1.3 billion people to curb the spread of the virus that has infected more than 1.5 million Indians.

Consumption is generally high during the June quarter due to weddings and key festivals such as Akshaya Tritiya, but lockdown restrictions kept shoppers indoors this year.

The weak demand in the first half could drag down India's gold consumption in 2020 to the lowest since 1994, when demand stood at 415 tonnes, Somasundaram said, adding that it is still difficult to provide an estimate for full-year demand as the coronavirus crisis is still unfolding.

"Indian demand has previously jumped as much as 300 tonnes in a quarter. Latent demand could come out in the second half," Somasundaram said.

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News Network
November 22,2024

Mangaluru: A man fell victim to an online scam, losing Rs 1.7 crore after fraudsters posed as officials from TRAI. According to a complaint filed at the CEN police station, the incident began on November 11, when the complainant received a call from an unknown number at 9:49 am.

The caller, claiming to represent TRAI, alleged that another mobile number registered under the complainant's name was involved in illegal activities in Andheri (East), Mumbai. The caller further stated that an FIR was lodged against the complainant for harassment under the guise of marketing. He was instructed to contact Andheri (East) police station immediately or risk his mobile service being deactivated within two hours.

The complainant was subsequently connected to an individual named Pradeep Sawant, who claimed the complainant was implicated in a money laundering scheme linked to the Naresh Goyal fraud case. Sawant alleged that a fraudulent bank account under the complainant's name was opened at Canara Bank, Andheri, and used to purchase a SIM card for illegal activities. He warned that the complainant could face arrest.

Later, the complainant was contacted via WhatsApp video call by individuals posing as Rahul Kumar (a police officer) and Akanksha (a CBI officer). They allegedly sent fabricated CBI documents to his WhatsApp number. The fraudsters demanded money to "resolve" the case. Fearing threats, the complainant allegedly transferred Rs 1.7 crore through RTGS in batches of Rs 53 lakh, Rs 74 lakh, and Rs 44 lakh between November 13 and 19. A case has been registered at the CEN police station and an investigation is ongoing.

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News Network
November 29,2024

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The Israeli military has conducted fresh attacks on Lebanon in violation of a ceasefire agreement with the Hezbollah resistance movement and ramped up its deadly airstrikes on the Gaza Strip.

In a statement posted Thursday on X, the Lebanese army said Israeli occupation forces several times violated the truce deal just after it went into effect, and the following day.

"These breaches included aerial violations and attacks on Lebanese territory using various weapons," it added.

The Israeli military confirmed its Thursday aerial assault on southern Lebanon, adding that its forces had also opened fire towards the people who were driving to their homes in the area.

Earlier, Lebanese media reported that at least two people were wounded after Israeli tank fire hit five towns and some agricultural fields in the country's south.

"The Israeli enemy is attacking those returning to the border villages," Hezbollah lawmaker Hassan Fadlallah said. "There are violations today by Israel, even in this form."

Israel was forced to accept a ceasefire with Hezbollah after suffering heavy losses following more than 14 months of fighting and failing to achieve its goals in its aggression on Lebanon.

The truce agreement, brokered by the United States and France, came into effect before dawn on Wednesday. It will last for 60 days in the hope of reaching a permanent cessation of hostilities.

At least 3,961 people were killed and 16,520 others injured in Israeli attacks on Lebanon.

Hezbollah opened a support front for Palestinians in Gaza only a day after Israel unleashed its war against the besieged territory in October 2023, launching numerous retaliatory attacks against Israeli targets in the occupied territories. 

In a statement that followed the ceasefire, Hezbollah vowed to continue resisting Israel and monitoring the occupation army’s withdrawal from south Lebanon “with [our] hands on the trigger” in defense of Lebanon’s sovereignty.

Hezbollah further empathized that its fighters “remain fully equipped to deal with the aspirations and assaults of the Israeli enemy."

It also reaffirmed its commitment to the Palestinian cause, noting that it will continue the path of resistance with even greater determination.

Israeli strikes on Gaza kill 42

Across the Gaza Strip, at least 42 people were killed in Israeli attacks on Thursday. 

Reports said Israeli forces stepped up their bombardment of Gaza's central areas and tanks pushed deeper into the Palestinian territory’s north and south.

Since October 2023, the Tel Aviv regime has so far killed at least 44,330 Palestinians and injured 104,933 others in its brutal Gaza onslaught.

The head of the UN agency for Palestinian refugees (UNRWA) said at least 70 percent of those killed in Israeli attacks on Gaza were women and children.

Philippe Lazzarini said the ongoing Israeli offensive in the northern edge of Gaza has uprooted 130,000 people over the past seven weeks.

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News Network
November 26,2024

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Bengaluru: The Janata Dal (Secular) is grappling with its most tumultuous political crisis yet, with speculation rife about imminent defections among its lawmakers. This storm comes in the aftermath of party scion Nikhil Kumaraswamy's humiliating defeat in the Channapatna bypoll—his third consecutive electoral loss after setbacks in Mandya (2019) and Ramanagara (2023). With the regional party’s Assembly tally shrinking to 18 from 19, questions are being raised about its survival.

The murmurs of rebellion were amplified on Monday when Health Minister Dinesh Gundu Rao and Congress MLA CP Yogeshwar openly hinted at possible desertions within the JD(S) ranks. Yogeshwar, newly elected from Channapatna, declared he could orchestrate a migration of JD(S) MLAs to Congress. “I’ll meet them at the Belagavi session. Within a month, they’ll be in Congress,” he confidently stated during a televised interview. Yogeshwar has a history of engineering defections, having played a pivotal role in the collapse of the JD(S)-Congress coalition government in 2019 during his stint with the BJP.

Dinesh Gundu Rao, not mincing words, slammed the JD(S) leadership for fostering "self-serving politics," criticizing the HD Deve Gowda family for failing to nurture party talent. “There’s no trust. Their MLAs will seek survival—either in BJP or Congress,” he remarked.

Meanwhile, the expelled JD(S) state president CM Ibrahim added fuel to the fire by claiming that 12-13 MLAs are "disillusioned" with the current leadership. Speculations around senior JD(S) leader GT Deve Gowda joining Congress have also intensified. DK Shivakumar, Karnataka’s Deputy CM and Congress president, described GT Deve Gowda as a “valuable leader” who might be frustrated with the party’s internal dynamics.

While Congress leaders seem eager to poach JD(S) legislators, the BJP is not far behind in targeting the floundering party. The situation signals a decisive moment for the JD(S), as its survival now hinges on how it manages this brewing storm of discontent.

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