Shares of Titan Company fell sharply on Monday, slipping more than 6% in early trade as investors reacted to Prime Minister Narendra Modi’s remarks asking people to avoid buying gold for weddings for one year amid rising global economic pressure.
Titan shares dropped 6.28% to Rs 4,230 during the session, down Rs 283.40 from the previous close of Rs 4,513.40.
The stock opened at Rs 4,350 and touched an intraday low of Rs 4,220.
The fall came as jewellery stocks across the market witnessed heavy selling after the Prime Minister’s comments over the weekend. According to a report by The Economic Times, stocks such as Titan, Kalyan Jewellers and Senco fell sharply after the remarks.
The main trigger behind the fall appears to be concerns that any slowdown in gold purchases could affect jewellery demand in India.
Speaking at an event in Hyderabad, for weddings for one year as the country deals with pressure from rising global prices and foreign exchange outflows.
The Prime Minister’s appeal was linked to the ongoing global energy shock caused by tensions in West Asia and disruptions around the .
Economists say India imports both crude oil and gold in large quantities, and both are paid for in US dollars. Higher imports increase pressure on India’s foreign exchange reserves and can weaken the rupee.
Markets appear worried that the comments could temporarily affect sentiment around jewellery demand, especially during the wedding season.
According to the ET report, Senco Gold was among the worst-hit stocks, falling nearly 9%, while Kalyan Jewellers dropped around 8%.
The report noted that India imported an average of 60 tonnes of gold every month during FY26, translating into a monthly import bill of nearly $6 billion.
The comments from the Prime Minister came at a time when India’s gold imports are already facing pressure.
Interestingly, the sharp fall in Titan shares came despite strong March quarter earnings.
Titan reported a consolidated net profit of Rs 1,179 crore in Q4FY26, up 35% from Rs 871 crore in the same period last year.
The Tata Group company’s total income rose 46% year-on-year to Rs 20,300 crore during the quarter. EBIT also increased 28% to Rs 1,875 crore.
Similarly, Kalyan Jewellers also posted strong earnings with net profit more than doubling to Rs 409.5 crore in Q4FY26.
Despite the strong numbers, investors focused more on the possible impact of lower gold demand and rising economic uncertainty.
The broader concern remains India’s rising import bill as crude oil prices stay elevated.
Gold imports are often closely watched during periods of economic stress because India is one of the world’s largest consumers of gold.
Any rise in gold imports increases dollar outflows from the country and can add pressure on the rupee during times of global uncertainty.
That appears to be the larger economic message behind the Prime Minister’s remarks and the sharp reaction seen in jewellery stocks today.
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