Hicksville, Oct. 13 -- India's household wealth held in gold is estimated at 34,600 tonnes, worth around $3.8 trillion or 88.8 percent of GDP. This is providing a positive wealth effect on the household balance sheet, with gold prices scaling new highs in the festive season, with customers rushing to buy the precious metal as the festival of light approaches.

Domestically, the Diwali festival has always boosted gold demand, as festive buyers return to the market.

Gold prices are currently at all-time highs, trading around $4,056 per ounce, with domestic prices also reaching record levels of around Rs 127,300 per 10 grams. Year to date, gold prices have risen by 54.6 per cent in US dollar terms and 61.8 per cent in INR terms, according t...