Asia Gold: India, China Turn to Premiums as Prices Ease from Record Highs
Gold prices in Asia’s top consumer markets, India and China, moved back into premium territory this week for the first time in nearly two months, as a pullback from record highs encouraged cautious buyers to return. In India, domestic prices slipped to around 136,700 rupees per 10 grams on Friday, down from last week’s peak of 140,465 rupees, improving affordability after a sharp rally.
Indian dealers charged premiums of up to $15 an ounce over official domestic prices, including import and sales taxes, reversing last week’s steep discounts of up to $61. Jewellers said retail demand showed mild improvement as prices corrected, though volatility continues to keep many buyers on the sidelines. Spot gold, meanwhile, began the New Year strongly, extending gains after a 64% surge in 2025, its biggest annual rise since 1979.
In China, bullion flipped from a discount to a premium of about $3 an ounce over global spot prices, supported by resilient retail demand following the recent correction. Analysts said physical buying remained robust despite thin seasonal volumes and recent price swings. Elsewhere in Asia, gold traded at narrow discounts to small premiums in Singapore, Hong Kong, and Japan, reflecting a more balanced regional market.
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