World Gold Council (WGC) has ruled out any decline in Indian gold demand because of rising prices. The council has forecast that gold sales would increase 10-15% this year from 800 tonne consumed last year arguing that the rising crude oil and base metal prices have left limited alternatives for investors to park their funds.The on-going price rise may create an inflationary situation all around resulting in gold remaining the only bet as a hedge against inflation, the council said. A release by the council said gold has long been considered a traditional classical gift in India, and has formed a special connection with Indian festivals. "Diwali acts as the important ingredient that allows Indians to indulge in gold - whether as gift, investment or a deserved personal treat. More Indians are subscribing to the belief of gold being the ideal valuable gift," the release said.
