The jewellery market posted a healthy 5% revenue growth in H1 2025, according to Tenoris, sustained by a steady five-month rise and a 3% increase in June sales. While the total number of pieces sold declined, consumers spent more per item, leading to a 10% surge in expenditure per unit in June and higher average prices across diamond, sapphire, gold, platinum, and silver jewellery.

Lab-grown jewels stood out, recording higher unit sales despite falling average prices, reflecting shifting consumer preferences. Round diamonds, though still dominant at 52% of sales, are gradually losing ground to oval shapes, which now account for 20%.

Finished jewellery also performed well, especially bracelets, which saw nearly 10% year-on-year revenue growth. Demand is strengthening in higher price segments, notably items priced between $7,500 and $10,000.

Natural diamond jewellery sales dipped in June but rose 3% year-to-date, driven by demand for pendants, bracelets, and necklaces above $2,500, often featuring lab-grown diamonds. The loose natural diamond market saw higher average carat weights but longer inventory turnover, while lab-grown loose diamonds continued to capture market share. Overall, the industry is rebounding from flat sales in H1 2024 and is focused on tapping new consumer demographics to sustain momentum.

• A 50% tariff on copper imports, possible 200% duties on pharmaceuticals, and a 10% levy on goods from BRICS nations are just a few of the extensive new measures that President Donald Trump announced, ruling out future extensions to the August 1 tariffs.
• Meanwhile, following a strong US jobs report last week, which allayed concerns about a slowing economy, the Fed lowered its July rate drop predictions.
• The expectation for more rate cuts has also decreased because the tariffs are anticipated to increase US inflation in the upcoming months.
• Investors are now waiting for the minutes of the June FOMC meeting to be released in order to gain further understanding of the Fed’s policy position.

Technical Triggers  

• Gold continues to trade near the lower side of the range of $3300 (~Rs 96250) and $3400 (~Rs 98500). If prices sustain below $3280 (~Rs 96000), weakness could further extend to $3200 (~Rs 94000).
• Silver is not able to sustain above its range of $37.5 (~ Rs 108,500) and $35.5 (~ Rs 105,000). Consolidation continues before heading higher towards the next target is $38 (~Rs 110,000)

Support and Resistance

For Gold

For Silver

H1 in review

Global physically backed gold ETFs1 saw inflows of US$38bn during H1, boosted by strong positive flows in June (Chart 1), marking the strongest semi-annual performance since H1 2020.2  All regions saw inflows last month, with North American and European investors leading the charge.

During the first half, North America accounted for the bulk of inflows, recording the strongest H1 in five years. And despite slowing momentum in May and June, Asian investors bought a record amount of gold ETFs during H1, contributing an impressive 28% to net global flows with only 9% of the world’s total assets under management (AUM). European flows finally turned positive in H1 2025 following non-stop semi-annual losses since H2 2022.

By the end of H1 the surging gold price and notable inflows pushed global gold ETFs’ total AUM 41% higher to US$383bn, a month-end record. Collective holdings in H1 grew 397t to 3,616t, the highest month-end value since August 2022 (Chart 2).

Regional overview

North America attracted US$4.8bn in June – the strongest monthly inflow since March – bringing total H1 inflows to US$21bn. Spiking geopolitical risks amid the Israel-Iran conflict boosted investor demand for safe-haven assets and supported inflows into North American gold ETFs. Although it held rates steady in June, the US Fed continued to express concerns about slowing growth and rising inflation.3 Markets are now pricing in three rate cuts by the end of 2025 and an additional two in 2026.

The investor response has been swift: US Treasury yields declined, and the dollar continued to weaken. Persistent policy uncertainty and ongoing fiscal concerns are likely to remain an overhang on the market, which in turn could help support gold ETF demand in the near to medium term.

European inflows continued for a second month, adding US$2bn in June – the strongest since January – and lifting the region’s H1 total to US$6bn. The UK led inflows in the month; although the Bank of England kept rates unchanged at its June meeting, the stance was generally dovish. 4 Combined with weaker growth, easing inflation and the cooling labour market, investors raised their bets on future rate cuts. This resulted in local yields declining and pushed up gold’s allure. Meanwhile, the eighth cut from the European Central Bank, uncertainties surrounding growth, and rising geopolitical risks generally, contributed to gold ETF demand in several major markets.

Asian flows flipped positive in June, albeit only mildly at US$610mn, ending at US$11bn – a record amount for any H1 period. India led inflows in June, likely supported by rising geopolitical risks in the Middle East. Japan recorded inflows for the ninth consecutive month (US$198mn, US$1bn H1), possibly driven by elevated inflationary concerns – particularly when the rice price surged.6 China only saw mild inflows in the month (US$137mn) as trade tensions eased and the local gold price moderated.7 Nonetheless, China’s H1 inflows of US$8.8bn (85t) were unprecedented amid spiking trade risks with the US, growth concerns and the surging gold price.