Jewellery stocks, including Titan Company, Kalyan Jewellers India, and Senco Gold, experienced significant selling pressure on May 11, with declines of up to 10%. This reaction followed Prime Minister Narendra Modi's call for citizens to refrain from non-essential gold purchases for a year as part of broader austerity measures aimed at protecting India's foreign exchange reserves. Despite a 24% increase in gold imports to a record USD 71.98 billion in FY26, the volume of gold imported decreased by 4.76%. Analysts like Ajit Mishra from Religare Broking caution that while short-term volatility may persist, long-term investors should consider staying invested in fundamentally strong companies. Harshal Dasani from INVasset PMS recommends a 'buy quality on correction' strategy, emphasizing that the current market reaction is more sentiment-driven than indicative of a structural slowdown. He highlights Titan's strong brand and market position as key factors for potential growth, while advising caution with smaller jewellery stocks until market sentiment stabilizes.