Gold soared by Rs 1 lakh, strengthening Manappuram and Muthoot Finance; Jewelry Stock Dipping
Gold prices soared to high prices on Friday as tensions between Israel and Iran escalated and investors pushed towards assets that shelter from wind. On the multi-commodity exchange, gold futures jumped by Rs 2,011 on August 5, 2025, with a daily high of Rs 1,00,403 per 10 grams. This is the first time that the price of gold in India has exceeded Rs 1 lakh trademark.
There are reports of Israel’s strikes on Iran’s nuclear sites and concerns about the wider conflict. The weaker rupee, the rupee against the dollar (6 paise) fell to Rs 86.10, which also led to a 2% increase in domestic gold prices.
Huang Financial Investor Stock Focus
1) Stocks of non-bank financial companies, they offer loans to gold jewelry witness huge gains
2) Manappuram Finance rose 1.83% to Rs 275.45 after reaching Rs 278.25 during the meeting
3) Muthoot Finance rose 1.36% of its trade volume was Rs 2,586.80, and its intraday high price was Rs 2,594. Overall, as gold prices rose, yellow finance investors’ stocks grew by 3%, increasing the value of collateral, reducing credit risk and increasing loan spending potential.
Jewelry under pressure
On the other hand, stocks related to jewelry are under sales pressure. PC jewelers fell 2.46%. Titan slipped 0.59%. Senco gold fell 0.87%. Kalyan jewelers fell 0.96%.
Jewelry stocks fell by up to 3% as analysts pointed out that consumer demand is higher. Rising gold prices often prevent purchases that can be purchased at the discretion, especially in price-sensitive markets in India, which may affect sales volume and profitability.
prospect
Gold prices may rise as geopolitical tensions are unlikely to ease immediately. While gold financiers are expected to benefit in the near term, jewelry companies may continue to face pressure if prices remain at levels of consumer comfort.
