Jewellery stocks shine on RBI move

Jewellery stocks were in limelight today on RBI relaxing gold import norms, surging over 6 per cent in an otherwise sluggish broader market.
The Reserve Bank had yesterday lifted the ban on imports of gold coins and medallions by banks and trading houses, with restrictions.
Following this, PC Jeweller surged 6.17 per cent, Gitanjali Gems 5.9 per cent, Tribhovandas Bhimji Zaveri 5.41 per cent and Titan Company gaining 2.8 per cent on the BSE.
The RBI had in a notification yesterday said banks are permitted to import gold on consignment basis. However, domestic sales will be permitted against upfront payment only.

Banks are free to grant gold metal loans, it had said.
"While the import of gold coins and medallions will no longer be prohibited, pending further review, the restrictions on banks in selling gold coins and medallions are not being removed," it had said.
India is the largest importer of gold, which is mainly utilised to meet the demand of jewellery industry.