According to the World Gold Council (WGC), represented by regional analyst Somasundaram PR Chacko, the Indian gold market experienced a shift in investment behavior during September. While physical gold imports into India trended downward, there was a notable rise in inflows into gold-backed Exchange Traded Funds (ETFs).

This trend suggests that while direct physical purchasing of gold may have slowed, investors are increasingly utilizing financial instruments to gain exposure to the metal. The WGC notes that this activity is occurring against the backdrop of building seasonal demand, which typically sees an uptick in gold consumption as the country approaches major festival and wedding seasons. The report highlights a divergence between the cooling of physical import volumes and the warming of paper-based gold investment, signaling a potential change in how Indian consumers and investors are positioning themselves ahead of peak buying periods.