The impact of Tax Collected at Source (TCS) on the Indian gold market
To widen the tax revenue the Finance Minister, Nirmala Sitharaman, announced during the annual budget of 2020-21 an extension to the scope of Tax Collected at Source (TCS). This blog discusses the impact of TCS on bullion dealers and the resultant impact on other participants in the gold supply chain.
India’s gold market in August: Indian imports hit nine-month high but retail demand remained weak
China’s gold market in August: strategic gold allocation rose, wholesale gold demand improved
Appetite for gold ETFs in Asia increased as global demand levels off overall
Gold-backed ETFs and similar products (gold ETFs) recorded their ninth consecutive month of inflows in August, albeit at their slowest pace for 2020. Collectively, gold ETFs added 39 tonnes (t) during the month, equivalent to US$2.2bn or 0.9% of assets under management (AUM) as the price of gold reached a record high of US$2,067 early in August. As equities continued to climb to new all-time highs, interest rates rose and yield curves steepened, investor positioning in the gold market consolidated later in the month and the gold price ended the month slightly lower (-0.38% or US$1,957/oz) for the first time in five months.
Gold deposit rates - a guidance paper
In this paper, we seek to answer those questions by assessing how gold lease rates have been affected in the past through changes in the demand to borrow gold and the supply of gold available for lending.
