Gold Rate Today – Updated Dec 26 2024
India uses almost a quarter of the world’s gold, making it the largest consumer of metal in the world as a whole. India has been the primary user of the metal for a long and uses gold in the form of jewelry and investments majorly. It can be seen as a useful instrument for investments and also for traders who deal in commodity trading or invest in gold bullion etc. Prevailing Gold Market Rates dictate these investment deals.
A lot of critical factors go into determining the Rate of Gold in a country, including demand and supply, global market conditions, currency fluctuations, etc. The Rate of Gold varies day to day in India as a lot of factors go into determining it which are variable.
Investment: It can be seen as a useful instrument for investments and also for traders who deal in commodity trading or invest in gold bullion etc. Prevailing Gold Market Rates dictate these investment deals.
Gold can be seen as a safe and right place where people can buy gold even when the market is not in good condition.
Sentiment: In India, Gold Metal is treated as a symbol of status and its not only about status but Emotions too. As the yellow metal symbolizes prosperity and wealth, Gold for the Indian Women is a sign of importance and speciality that they can’t get enough of. Apart from this, Gold is also used in some of our India’s auspicious celebrations like in weddings mainly and sale of the gold drastically increases in some festivals. It is easy to buy and also easy to sell incase if you ever need to sell due to financial issues.
Gold rate changes everyday and the best way to get the gold at an efficient price is to constantly check the rate of gold per gram on a daily basis. You’ll get an idea of the price and right time to buy the gold.
The price of gold slightly varies from some cities to some cities. Also the reason behind change of rates is demand and supply in the market. The US dollar somehow affects the prices and any unexpected scenarios around the globe. Apart from all these, the other factors such as carriage, local associations, demand, taxes, etc change the prices of the Gold
Today the gold price is affected by various factors such as demand and supply, market scenarios across the globe and the strength of the US dollar etc. Also, the price of gold differs in various cities across the country. Numerous factors such as taxes, demand, carriage, local associations, and few other factors affect the gold price in different cities.
24 Carat Gold Rate Today – Dec 26 2024
| Gram | 24 Carat Gold Today | 24 Carat Gold Yesterday |
Daily Price Change
|
| 1 gram | ₹4,786 | ₹4,787 | ₹ -1 |
| 8 gram | ₹38,288 | ₹38,296 | ₹ -8 |
| 10 gram | ₹47,860 | ₹47,870 | ₹ -10 |
| 100 gram | ₹4,78,600 | ₹4,78,700 | ₹ -100 |
22 Carat Gold Rate Today – Dec 26 2024
| Gram | 22 Carat Gold Today | 22 Carat Gold Yesterday | Daily Price Change |
| 1 gram | ₹4,686 | ₹4,687 | ₹ -1 |
| 8 gram | ₹37,488 | ₹37,496 | ₹ -8 |
| 10 gram | ₹46,860 | ₹46,870 | ₹ -10 |
| 100 gram | ₹4,68,600 | ₹4,68,700 | ₹ -100 |
22 & 24 Carat Gold Rate in India for Last 10 Days
|
Date
|
STANDARD GOLD 22K | PURE GOLD 24K | ||
| 1 GRAM | 10 GRAM | 1 GRAM | 10 GRAM | |
| 24 July 2021 | Rs. 4,686.00 | Rs. 46,860 | Rs. 4,786.00 | Rs. 47,860 |
| 23 July 2021 | Rs. 4,687.00 | Rs. 46,870 | Rs. 4,787.00 | Rs. 47,870 |
| 22 July 2021 | Rs. 4,690.00 | Rs. 46,900 | Rs. 4,790.00 | Rs. 47,900 |
| 21 July 2021 | Rs. 4,712.00 | Rs. 47,120 | Rs. 4,812.00 | Rs. 48,120 |
| 20 July 2021 | Rs. 4,730.00 | Rs. 47,300 | Rs. 4,830.00 | Rs. 48,300 |
| 19 July 2021 | Rs. 4,704.00 | Rs. 47,040 | Rs. 4,804.00 | Rs. 48,040 |
| 18 July 2021 | Rs. 4,719.00 | Rs. 47,190 | Rs. 4,819.00 | Rs. 48,190 |
| 17 July 2021 | Rs. 4,720.00 | Rs. 47,200 | Rs. 4,820.00 | Rs. 48,200 |
| 16 July 2021 | Rs. 4,735.00 | Rs. 47,350 | Rs. 4,835.00 | Rs. 48,350 |
| 15 July 2021 | Rs. 4,709.00 | Rs. 47,090 | Rs. 4,809.00 | Rs. 48,090 |
How is the hallmarked gold rate today in India determined?
There isn’t any difference between the hallmarked gold rate today and the normal gold rate. No gold seller charges extra money if you buy hallmarked gold. The rate at which the hallmarked gold and the normal gold are sold is the same. The sole and most important difference is that purity will be ensured when you buy hallmarked gold.
The hallmarked gold price in India does not differ either when it comes to the pricing. The only difference lies in the quality of the metal used. When you buy gold, you are to buy good quality gold. It is advisable to buy the hallmarked gold because of its quality. Many investors have raised their opinions on the low number of hallmarking centres available in our country. This is an important issue that needs to be addressed by our government to increase the number of hallmarking centres.
Demand for Gold in India
India’s primary demand for gold is its use as jewellery. Unlike China, India’s industrial usage of gold is minimal. Domestic production of gold in India is limited and, due to its strong demand, India relies heavily on gold imports every year. The gold imports in India are the next largest chunk of total imports after crude oil. Recently, the government has increased its focus on reducing the negative impact of heavy gold imports.
What are the various gold options available to buyers in India?
Below are the various forms of gold options that are available to buyers in India are
- Physical Gold Jewellery/Bars and coins – The main method by which most Indian households purchase and store gold are in the physical form of gold jewellery, gold bars, and gold coins. Investment in gold has been questionable after other forms of gold investments came into effect.
- Gold Exchange Traded Funds (Gold ETFs) – A gold ETF is an electronic form of buying gold that is used to track the domestic physical gold price. They represent physical gold in dematerialized form. They are usually traded on the National Stock Exchange of India (NSE) and Bombay Stock Exchange Ltd (BSE). When you redeem the gold ETF you don’t get any physical gold however, you do get the cash. Trading of gold ETFs takes place through a dematerialized account (Demat) and a broker, which makes it an extremely convenient way of electronically investing in gold.
- Gold Mutual Funds – Gold mutual funds are also called open-ended funds. Investors may invest any amount of money at any point in time. The process of investing in a gold mutual fund is easier than gold ETFs because it does not require a Demat account.
- Sovereign Gold Bonds (SGBs) – SGBs are government security gold bonds that are denominated in grams of gold. They are used as substitutes for holding physical gold. Any investor will have to pay the issue price of the bonds in cash and it will be redeemed in cash on maturity.
How to Check Purity of Gold
How to know if you are buying Real/Pure Gold? There are many ways to Check the Purity of Gold.
- Look for the Hallmark Stamp: Pure gold always carries a stamp. Every reputed store stamps the jewellery with a purity scale. To check the purity of your gold, you have to simply place it under the magnifying glass and check for the hallmark stamp.
- BIS Standard Mark: BIS is used as a benchmark stamp for the purity of gold. Every legal jewellery item carries this stamp on it.
- If there is Any Discolouration: You can check the purity of your gold by checking if there is any discoloration or not. If your piece is only gold plated, it will start showing a different metal under it and the color will be faded.
- Try with a Magnet: We are aware of the fact that gold is non-magnetic. Therefore, if it pulls towards the magnet, it’s not real. However, this method is not always accurate.
- Scratching test: Starching the gold against a ceramic plate is one of the effective method used. If it becomes grey or a black after scratch, Its fake. The real Gold will remain Golden even after scratch.
Measurement of gold
The weight of gold is measured in grams or troy ounces (1 troy ounce = 31.1034768 grams)
What is Karat?
Karat is the measurement that is needed to represent the purity of gold. It is a unit of fineness or purity. It refers to the ratio of an alloy that is mixed with gold such as copper. Since pure gold is very soft, it needs to be alloyed with another metal to allow it to be made into jewelry, etc.
24 K = 99.9% Pure
22 K = 91.3% Pure
18 K = 75% Pure
14 K = 58.5% Pure
10 K = 41.7% Pure
Common Factors that Determine Gold Prices in India
Several factors keep the current gold rates volatile this year.
Global Changes in Gold Prices
The price of gold in India is predominantly dependent on the global prices of gold. Most of the gold in the Indian markets is imported. When there is a change in the global rate of gold, the import values are altered accordingly. The market price of gold in India is a direct reflection of the import prices.
The Gold Reserve Measure
Almost all cities have their central banks. These governing banks of major countries are responsible for holding back the metal along with currencies for future use. The Reserve Bank does this too. When these banks all over the world acquire more gold for reservation, it leads to a rise in the rate of gold.
An Overall Demand
There are specific reasons for the rise in consumer demand for gold. In India, it is the wedding season or the season of festivities. When the demand is more, there is seen to be an imbalance in the demand-supply ratio. This leads to a rise in gold prices.
How is the Per-Gram Today Gold Price in India Arrived at?
The gold price today in India is determined by the following factors:
- Currency – When the rupee slips against the dollar, India’s gold rate rises.
- International Factors – These factors include a slowdown of global economic development, the dollar becoming stronger against different currencies, etc.
- Global Demand for Gold – Global demand for gold plays a very crucial role in determining the price of gold in India. In case the demand is robust, the prices would rise and vice-versa.
- Interest Rates – The rate of interest is a crucial factor that affects the gold rates in India. When the rate of interest in countries such as America increases, the current gold rate in India falls and when it falls, the gold rates increase.
- Government Policies – There are times when the government discourages the purchase of gold. For example, when the gold prices are high, the government discourages any investments in gold. It is done to make sure that there isn’t any problem with the deficit.
- Prices – High price of gold discourages consumption in our country. Off late, the price of gold in India has increased.
How is the Per-Gram Today Gold Price in India Arrived at?
The gold price today in India is determined by the following factors:
- Currency – When the rupee slips against the dollar, India’s gold rate rises.
- International Factors – These factors include a slowdown of global economic development, the dollar becoming stronger against different currencies, etc.
- Global Demand for Gold – Global demand for gold plays a very crucial role in determining the price of gold in India. In case the demand is robust, the prices would rise and vice-versa.
- Interest Rates – The rate of interest is a crucial factor that affects the gold rates in India. When the rate of interest in countries such as America increases, the current gold rate in India falls and when it falls, the gold rates increase.
- Government Policies – There are times when the government discourages the purchase of gold. For example, when the gold prices are high, the government discourages any investments in gold. It is done to make sure that there isn’t any problem with the deficit.
- Prices – High price of gold discourages consumption in our country. Off late, the price of gold in India has increased.
Why is Gold a Good Option to Invest in India?
If you are keen to invest in gold, you’ll get many investment options in India. But before investing in gold, one has to know certain things such as why they are investing, the tax liability, the other investment options, and everything that you aspire to know about gold. Gold trading has picked the pace within a very short span of time by offering favorite investment avenues in India. The Indian gold market witnessed a stagger in the initial phase of this year regarding the Indian Gold Rate, the stalwarts say this is a transitory phase that will pass by soon.
Why is Gold Considered so Valuable?
Gold is considered valuable for many reasons, mainly
- Value: Gold prices fluctuate in the near to medium term, and its value tends to rise in the long-term. For this reason, people invest and hold on to gold for a long period of time.
- Industrial uses: Gold is used in many manufacturing processes. Although it is not comparable to retail consumption, many countries use gold for various production purposes.
- Gold reserves: Gold is maintained as a reserve to back paper currencies by many countries. These paper currencies are used to attain their values based on the value of the gold reserves that back them.
- Limited supply: The amount of gold that can be mined and produced in the world is limited. Due to this, the gold attains more value as an irreplaceable asset.
- Tradition: Gold has traditionally been used for many financial transactions. This has been passed down through the ages and prevails even today.
Store your Gold Safely in India
The best way to store your gold is to put it safely in a bank locker. You can rent a bank locker and keep your gold guarded. Bank lockers do have various pros and cons, therefore one must research them. To sort this problem, it is recommended to buy gold in its electronic form. Electronic gold is considered to be safe against fire or theft. It is ideal for all investors looking for long-term savings in gold.
22 Karat and 24 Karat Gold: Know the Difference
| 24 Karat Gold | 22 Karat Gold |
| It has no trace of other metal | Marketable in jewellery or decorative form |
| Known as 99.95 pure gold | Not 100% pure gold, up to 92% is pure gold, and the remaining part is preservative metals such as zinc, silver, or other metals. |
| Slightly expensive than the other | It is cheaper than 24 karat gold with less weight |
| It offers guaranteed resell globally due to the liquidity of gold and extreme demand | The color of gold is changeable by mixing other metals like alloy |
| The gold color is pure yellow and untainted | |
| It cannot be used directly in making ornaments or jewellery | Though it is best for jewellery making not recommended for diamond or gemstone studded jewellery. |
Do’s and Don’ts while Buying Gold
The Do’s
1. Check the purity of the gold
Before buying gold jewellery, one must always check the purity of the gold. The purity of the gold can be checked through Karat and Fineness. The 24 karat gold is the purest form of gold. To make 22 karat gold, 22 parts of gold are mixed with 2 parts of Zinc or Silver.
2. Check the BIS Certification
BIS certifies gold jewellery by stamping it. Every BIS certified gold jewellery comes with a BIS stamp. One must look at the jeweller’s identification mark, the year of the hallmark, and the mark of the Assaying and Hallmarking Centre.
3. Bargain on the making charges
Jewellers pass the labour cost that is involved in making jewellery to buyers, in the form of making changes. Making charges are usually some percentage of the current gold price. So, making charges depend on the cost of gold.
The Don’ts
1. Avoid jewellery studded with stones
If you are buying gold jewellery studded with precious or semi-precious stones, you are paying more than it’s worth.
It is very difficult to identify the purity of the precious stones in the jewellery. When you buy gold jewellery, you don’t just pay the money. You must ask for the breakup of the gold and precious stones and then pay accordingly.
2. Avoid selling old jewellery to other jewellers
Whenever you buy gold, most of the jewellery shops say that they have a good buyback policy and that they give 100% of the value of the gold. But, you should sell the gold jewellery to the shop from where you have bought it.
Factors Influencing Gold Price in India
Influence of Inflation Rate
Due to its steady nature, the investors seem to prefer to use gold over the currency. It increases the demand for gold when inflation is high. The price of gold tends to increase with the increasing demand for gold among investors and customers.
Global Movement
The global movement may affect today’s gold price in India. India is the largest importer, and gold is being imported today from each part of the world. Hence, when the import rates change owing to a global movement, some of it holds a significant impact on gold prices in India.
Government Gold Reserves
In most cases, central banks, have the right to gold reservation. Reserve Bank of India is one such institution that can hold a gold reserve. When a central bank does so or procures gold in excess, the today gold rate goes up. It is due to the rise in the flow of cash in the market but the supply goes down.
Effect of QE on Gold Price Today in India
Quantitative easing is broadly known as QE. It is another part that has an impact on the gold rates in India. In quantitative easing, there is an influx of money in the economy to upgrade consumption. Global central banks purchase securities which leads to more influx of money in the economy, which discovers a route into international gold investments, pushing the costs of the metal higher.
Appreciation in QE influences the gold rate in India, which further influences all of the types of gold, including the 916 gold rates in the country. The US is finished with its QE phase, and nations are easing, for instance, Japan alongside Europe through the central banks.
As of now, it appears to be impossible there will be QE around there. When the world economy confronts any liquidity issues, gold rates could fall in the deal. Some other components lead to gold rallying, along with QE. The withdrawal of QE will make the gold prices fall. The US is currently unwinding its QE, leaving room for chances of impact on the gold rates in India.
Gold Prices and U.S Dollar Correlation
How the price of the dollar affects the gold rate in India:
- Effect of Dollar Rate on Gold Rate: – Gold rates have an inverse relation with the US Dollar. If the US dollar falls, the gold price rises and when the US dollar rises, The Gold price falls down. And the reason behind this is the falling dollar increases the value of currencies of other countries which results in increasing the demand for gold.
- Effect of Dollar-Rupee Equation on Gold Price: – Another reason how prices of dollars affect gold is that change in the rupee-dollar equation affects the gold rates in India. As the value of the rupee falls against the dollar, the demand for gold rises in the Indian currency and similarly vice-versa.
Latest Gold News
Gold Hits the Record Rate of Rs.52, 309 for 10 gm; May Touch Rs.65, 000 This Year
The gold analysts are forecasting a price hike which may touch around Rs.65, 000 for 10gm by year-end because of monetary and fiscal stimuli by the central banks and governments across the world for tempering the economic impact due to the COVID pandemic.
The gold rate has hit a record hike of Rs.52,309 for 10 gm (excluding the GST) in the evening trade polled by IBJA (Indian Bullion and Jewellers Association). As per the New York Times, the overseas gold rate has broken nine years record and reached as high as $1,920.3 for an ounce for trading at $1.933.3. The jump in price comes because of very low levels of physical demand for jewellery in India as per Somasundaram PR, MD, India of Word Gold Council (WGC).
India Saw A Drop of 99.9 % drop of Gold Import Amid Lockdown Due To Coronavirus
With the nationwide lockdown, India’s gold imports saw a significant drop of 99.9 % year-on-year in April. As per the government source, it is the lowest in almost three decades. One of the reasons cited for this drop is the ban on jewellery and tourism industry to curb the spread of novel coronavirus as per the source.
India’s Gold Import Market Sees 49% Growth!
India’s gold import market sees a growth of 49% as compared to last year, which is 116 tonnes. This happens due to the price lower price during a key festival called Akshay Tritiya that boosted the retail demand for gold.
India is the world’s second-largest consumer of this precious metal, where higher gold imports could support global prices. As per the source, the country’s import value rose to $4.78 billion in May from $3.48 billion last year.
Indians believe that buying gold during this festival is auspicious, thus local gold prices fell to the lowest level in 5 months, prompting the jewellers to stock up inventory.
Gold Bullion is Rising: A Global Slowdown Tensions Predict a Better Future for the Metal
Contradictory news and macro data have kept the market of commodity volatile in the recent past. The good and the bad news thing have turned the market into a better hunting field for the traders.
In the middle of the market volatility, the allure of gold as a safe refuge has only brightened up. The yellow metal registered the second weekly profits, having logged 3% for this year. Even though the prices ended the week off the highs, but the lustrous metal held on to the crucial initial support level, a better indication, which prices have a little headroom on the upside in the shorter term.
Gold Weight Conversion Table
| To convert from | To | Multiply by |
| Tonnes | Troy ounces | 32150.7 |
| Troy ounces | Grains | 480 |
| Kilograms | Tolas | 85.755 |
| Kilograms | Bahts | 68.41 |
| Kilograms | Troy ounces | 32.1507 |
| Troy ounces | Grams | 31.1035 |
| Million ounces | Tonnes | 31.1035 |
| Kilograms | Taels | 26.7172 |
| Troy ounces | Penny weights | 20 |
| Troy ounces | Avoirdupois ounces | 1.09714 |
| Avoirdupois ounces | Troy ounces | 0.911458 |
| Short tonne | Metric tonne | 0.9072 |
| Grams | Troy ounces | 0.0321507 |
Buying Gold on PayTM:
Is it safe to buy gold on PayTM ?
Yes, it is safe to buy Gold through Paytm, You can buy it simply through a mobile application called PayTM in association with MMTC – PAMP. You can check the gold rate today and could easily transact as per your needs/plans in a very convenient manner. It is called the Gold Accumulation Plan (GAP). Under this, A consumer can buy 24 karat / 999 fineness gold through Paytm.
It is made permissible for the customers under GAP to make a transaction as low as Rs. 1,000!! And in multiples of 100 afterwards. Also it permits the transaction of 0.01 grams of gold as well.
Features of Paytm Digital Gold:
- Buying Gold has no minimum value, Anyone can buy it for Rs. 1 also as per the grams (can also be 0.01 grams)
- The transaction can be made at time of the day or night, irrespective of the public or Bank holidays.
- The minimum amount of gold can be redeemed is 0.0001 grams as per the gold rate.
- Everyday gold prices are inclusive of taxes, foreign exchange conversion, and customs duty and are offered on a per gram basis. The prices do not include making charges, product manufacturing, and delivery charges. And the prices are updated frequently as the update comes.
- The transaction price is valid for a maximum of 5-6 minutes.
How Much Gold Holdings Does The World Have?
| Country | Weight | Reference | Unit |
| United States | 8133 | Dec/20 | Tonnes |
| Germany | 3362 | Dec/20 | Tonnes |
| Italy | 2452 | Dec/20 | Tonnes |
| France | 2436 | Dec/20 | Tonnes |
| Russia | 2299 | Dec/20 | Tonnes |
| China | 1948 | Dec/20 | Tonnes |
| Switzerland | 1040 | Dec/20 | Tonnes |
| Japan | 765 | Dec/20 | Tonnes |
| India | 677 | Dec/20 | Tonnes |
| Netherlands | 612 | Dec/20 | Tonnes |
Gold trading as a Commodity in India
Commodity trading is one of the major advancements in the financial and investment structure of the country. Gold is one of the commodities that is being exchanged at the commodity exchanges of India. And it is possible to trade gold via three committed commodity exchanges:
- Multi Commodity Exchange of India Ltd.
- National Multi Commodity Exchange of India Ltd.
- National Commodity and Derivative Exchange.
Authorized by the Forward Markets Commission, these three exchanges are available all over the nation and they offer electronic trading and settlement frameworks
Gold Futures Contracts on MCX
MCX India performs in the future trade of gold alongside an enormous scope of various commodities. As of now, MCX offers different gold future contracts for investors anticipating good returns on their investment.
- Gold – It has an exchanging unit of 1 kilogram, and the greatest order size is 10 kilograms. The highest permissible open position for an individual is higher of 5 metric tons for each of the gold contracts coupled together or 5% of the market-totally open position.
- Gold mini – It has an exchanging unit of 100 grams, and the greatest order size is 10 kilograms. The greatest proper open position for an individual and a representative dealing with all the customers is the same as that for Gold Futures Contracts.
- Gold guinea – Every gold guinea contract comprises a small amount of 8 grams, and it is focused on individuals with a limited capital base. Considering a low sum, the best permissible open position is at metric tonne for every gold contract coupled together or 5 per cent of the market-wide open condition for clients.
- Gold petal – It includes just 1 gram of gold for every unit, as it is conspicuously structured for small investors. The greatest permissible open position is the same as the contracts mentioned above. The maximum number of gold petal contracts that one can purchase is 20,00,000.
- Gold global – Released in July 2015, Gold global is another commodity that trades as an agreement that affixes to international prices structured for exporters, goldsmiths, refiners, and bullion market members.
Why is the gold price increasing in India
Gold rates in the country vary daily as several factors impact these rates. Looking closely at the latest trends helps us to highlight the reason for these changes. Some of the most common factors influencing the prices of Gold in India are highlighted below:
- Demand and supply – Rates of gold increase once the demand increases the supply of gold. Gold is a natural resource and is available in limited quantities, and each time the amount reduces, there is a rapid increase in gold rates.
- International relations –International relations affect the rate of gold deeply in India, mainly because India depends majorly on imports to fulfil the needs of the people. Any variation in international relations could be translated into a change in local gold rates.
- U.S. dollar – U.S. dollar has a vital role in determining the Gold Market Prices. A strong dollar makes the gold performance weak and vice versa; as a result, gold becomes costlier every time the dollar underperforms.
- Market conditions – Gold and market conditions are inversely related; the rates increase whenever the pressure on the markets rise.
- Government taxes and duties – The government charges taxes and duties on several commodities, including gold. Increasing taxes results in increased gold market rates.
- Import cost: A State satisfies its huge demand of gold through imports, which means that import rates ultimately affect the gold price within the country. Usually the transaction happens in US dollars, a stronger dollar makes buying gold more expensive.
- Fixed Deposit interest rates – A fixed deposit is considered as the most safest option for investing by many millions of Indians. Gold comes the second preference. When the rate of interest on FD falls, investors prefer investing in gold as an efficient investment option. When the demand for gold rises due to rise in buyings, the price increases too.
- Economic instability – The price of gold rises when any economic crisis occurs, as gold is considered a stable asset. Investors Simply take out their money form the riskier investment sources and move their money into gold. Gold has a strong stability and it comes with the advantage of high liquidity, continues to be held in great value in times of instability.
- Seasonal price – In India, demand for gold surges due to auspicious festivals, marriage seasons and other occasions, leading to increased prices because of higher demand.
- Inflation – The price of gold tends to rise during inflation. Because Gold is offered as a hedge against inflation, this spiraling fashion will increase the fee of gold.
- Mining/production costs: Gold mining requires huge amount of investment of energy per gram of gold produced and this cost is factored into the price. The gold price is also affects due to the mining companies increasing prices of production costs. This is reflected in the price paid while importing gold into into any state.
- Gold Associations – Nearby gold associations have the power to fix the gold costs and inside the case of larger city consisting of Mumbai and Chennai, gold price is mainly impacted by the same reason. Due to this purpose, the rates of Gold changes from one city to another.
- International prices – When the price of the gold rises in the international market, the price of gold increases. For instance, when the central banks buy gold as a hedge against inflation, the price of gold tends to go upward globally.One should keep in mind that gold prices can also vary across different cities in any state. Few reasons for differences in domestic gold prices are:
(i) State taxes:
Different states in India imply different taxes which can cause a variation in price between states.
(ii) Volume of demand in different cities:
India is a large country with an intensely diverse population and demography. In rural areas, where the population is scattered, gold is priced higher than densely populated areas, where prices are comparatively lower. Large cities, where the volume of demand is very high, trading in large amounts of gold leading to little lower prices.
(iii) Transportation cost:
Say if a state imports most of its gold, so the nearest ports will cause the low transportation charge, while the port located far can cause the high the high transportation charge since its a risk transporting a heavy and precious metal.
- Gold Reserve – A gold reserve stock impacts the gold rates because the Central Bank of every country maintains it. In India, as the RBI acquired the gold for reservation, it ultimately increases prices of gold.
- The gold rates have been increasing because of improvement in performance on the international front. The United States Federal Policy rate change had a significant impact on prices, helping them recover from a poor performance last year.
What are the different purity levels of gold?
Gold is purchased considering the weight and its purity. Purity is measured in Karats. Gold is available in different qualities, with the popular ones being 24 karats, 22 karats, and 18 karats. 24 karat gold is used mainly as an investment whereas 22 and 18 karat gold are majorly used to make jewellery and ornaments.
22 karat gold is a mix of alloys and gold, in the ratio of 1:11. This means that 1 gram of 22 karat gold has about 91.5% pure gold, with other metals filling up the remaining part. These impurities are added to make it more malleable and ductile, which makes it the perfect metal for jewellery.
In the same way, 18 karat gold is a mix of gold and alloys in the ratio of 3:1, i.e. 75% pure gold and 25% metals. This is generally cheaper than 22 and 24 karat gold as it contains more impurities.
Other gold options also include 14 karat gold (which has about 58% gold), 10 karat gold (with about 42% gold), and 6 karat gold (with about 25% gold).
Which is the best investment option for you: Physical Gold, Gold ETFs, or Sovereign Gold Bonds?
Here we will talk about all three investment options about gold and determine which of these is better.
| Factors | Physical Gold | Gold ETFs | Sovereign Gold Bonds |
| Liquidity | Offers high liquidatable. It can be invested or exited any time an individual wants to. | ETFs also offer a high liquidity option. It can be traded on the stock exchange and can be liquidated during a trading session. However, the cost of selling is quite low compared to physical gold. | Can be bought from local banks and trade exchanges. Again, the cost of buying and selling is quite low compared to physical gold. |
| Safety | Is highly susceptible to thefts and burglary. | Very safe as it is stored in a dematerialized form in a DEMAT account. | Again, SGBs are kept in a DEMAT account and offer optimum safety. |
| Loan facility | Easily available. | Loans can be availed against gold ETFs. | Not available |
| Investment flexibility | Can be invested in a short time frame. | Can be bought in shorter quantities and requires less maintenance. | Can be bought in shorter quantities and requires less maintenance. |
| Tax Liability | All three avenues are taxed similarly. To start, any investment that is kept for more than three years is considered a long term holding and is eligible for Long Term Capital Gains (LTCG) tax, which currently remains at 20% after indexation. If they are held for less than 3 years, they are considered a short term holding and is taxed based on the individual’s tax slab Note that, Sovereign Gold Bonds offers one advantage on the tax front, wherein the gains are tax-exempt if the investment is redeemed after the maturity period. | ||
- Physical Gold Bars/Jewellery and coins – The primary and very common method by which most of the Indians purchases and store gold is in the physical form of gold jewellery, bars and coins. There is a possibility that you will get a lower value at the time of resale as there is no surety that gold prices today will surge tomorrow or in future.
Taxes on Gold in India
India charges tax on gold as it is a commodity, and depending on its use, the tax amount levied on the resource varies.
Tax on Purchase of Gold
Most of the Gold used or available in India is imported; this results in the imposition of customs duty on gold. The customs duty is payable on the gold of 10% of the total value of the precious metal. Also, processing charges related to the purchase would be taxed at about 5%.
The sale of gold in the country brings it under the GST (Goods and Services Tax) which was introduced in 2017. The GST on Gold is set at 3%. Therefore, the total tax to be paid on gold is 14%.
Income Tax charged on gold.
Any profit amount, whether big or small made by selling gold, attracts income tax. Individuals, Industries, jewellers, etc., are required to pay income tax in such cases.
The profit received from the sale of the precious metal falls under ‘Capital Gains Tax’. Details of possible exemptions and tax liabilities are given below:
Gold jewellery or gold bought and sold within 3 years (36 months) is considered as a short-term capital asset and is taxed at the applicable rate (which is subject to changes as and when announced by the government).
Gold jewellery or gold sold or bought after 36 months is considered a long-term capital asset. Whether it was bought, gifted, or inherited, it will come under long-term capital assets. Taxes and other surcharges are calculated accordingly.
Gold received as a gift is exempted from tax if the value of the gold is less than ₹50,000.
In the event where gold is sold, and no profit is made from the sale, there is no tax levied on the transaction since it is considered as a ‘capital loss’ and can be listed when filing for income tax returns.
Uses of Gold
Gold is used for many things apart from jewellery and bullion. Below is a list of things gold is used for:
Glassmaking
Gold is used significantly during the process of glassmaking. Here are the three most popular uses.
The most basic use is pigment out of all the other applications. The yellow metal is used in the annealing process to arrive at a ruby gloss. Annealing is a process featuring in the glass manufacturing industry, where it is heated to its ductile best and then allowed to cool down slowly so that it hardens
Gold is also used to make speciality glass which is often used in climate-controlled buildings. A little gold is added to the surface of the glass to reflect the sunlight away from the building, which keeps the building cool.
It is used in the making of the visors of astronaut helmets. A thin film made of gold is used to line the outer layer of helmets to keep intense solar radiation, which will otherwise harm the eyes of the astronaut.
Electronics
Gold is used extensively in the electronics manufacturing industry because of its highly conductive features. For starters, gold is used in every electronic device, starting from GPS units, mobile phones, calculators, television sets, etc. There is only one downside to this, that is the wastage of precious metal. This is because mobile phones and other electronic products are manufactured in millions and have a short shelf life. And because there is no proper recycling process in place, a considerable amount of gold is lost when electronic products are dumped.
Aerospace:
Aerospace vehicles are completely different from earth vehicles, and the highlighted distinction is that they cannot be serviced once it takes off from the earth. That is why they are built with trustworthy materials. Due to its connecting and conductivity properties, gold is used in the circuits. Also, most parts of a space vehicle are fitted with a gold-coated polyester film which helps in keeping infrared radiation out and keeping the temperature stable inside the vehicle.
Gold Rate Trends in India May 2021
| Parameters | Gold price (24 karats) |
| May 1 Rate | Rs.4,956 per gram |
| May 14 Rate | Rs.5,000 per gram |
| Highest Rate in May | Rs.5,010 per gram on 11 May |
| Lowest Rate in May | Rs.4,700 per gram on 9 May |
Gold Rate Trends in India April 2021
| Parameters | Gold price (24 karats) |
| April 1 Rate | Rs.4,717 per gram |
| April 30 Rate | Rs.4,761 per gram |
| Highest Rate in April | Rs.5,086 per gram on 23 April |
| Lowest Rate in April | Rs.4,042 per gram on 18 April |
Gold Rate Trends in India March 2021
| Parameters | Gold price (24 karats) |
| March 1 Rate | Rs.4,891 per gram |
| March 31 Rate | Rs.4,745 per gram |
| Highest Rate in March | Rs.4,931 per gram on 2 March |
| Lowest Rate in March | Rs.4,539 per gram on 16 March |
Gold Rate Trends in India February 2021
| Parameters | Gold price (24 karats) |
| February 1 Rate | Rs.5,232 per gram |
| February 28 Rate | Rs.4,967 per gram |
| Highest Rate in February | Rs.5,232 per gram on 1 February |
| Lowest Rate in February | Rs.4,927 per gram on 20 February |
Gold Rate Trends in India January 2021
| Parameters | Gold price (24 karats) |
| January 1 Rate | ₹ 49,940 |
| January 31 Rate | ₹ 48,960 |
| Highest Rate in January | ₹ 51,350 |
| Lowest Rate in January | ₹ 48,800 |
Gold Rate Trends in India December 2020
| Parameters | Gold price (24 karats) |
| December 1 Rate | ₹ 47,920 |
| December 4 Rate | ₹ 47,920 |
| Highest Rate in December | ₹ 50,370 |
| Lowest Rate in December | ₹ 47,920 |
Gold Rate Trends in India November 2020
| Parameters | Gold price (24 karats) |
| November 1 Rate | ₹ 50,960 |
| November 4 Rate | ₹ 50,960 |
| Highest Rate in November | ₹ 52,230 |
| Lowest Rate in November | ₹ 48,240 |
Gold Rate Trends in India October 2020
| Parameters | Gold price (24 karats) |
| October 1 Rate | ₹ 49,900 |
| October 4 Rate | ₹ 49,900 |
| Highest Rate in October | ₹ 51,200 |
| Lowest Rate in October | ₹ 49,900 |
Gold Rate Trends in India September 2020
| Parameters | Gold price (24 karats) |
| September 1 Rate | ₹ 51,750 |
| September 4 Rate | ₹ 51,750 |
| Highest Rate in September | ₹ 51,750 |
| Lowest Rate in September | ₹ 49,250 |
Gold Rate Trends in India August 2020
| Parameters | Gold price (24 karats) |
| August 1 Rate | ₹ 52,550 |
| August 4 Rate | ₹ 52,550 |
| Highest Rate in August | ₹ 54,500 |
| Lowest Rate in August | ₹ 50,359 |
Gold Rate Trends in India July 2020
| Parameters | Gold price (24 karats) |
| July 1 Rate | ₹ 48,650 |
| July 4 Rate | ₹ 48,650 |
| Highest Rate in July | ₹ 52,900 |
| Lowest Rate in July | ₹ 47,450 |
Gold Rate Trends in India June 2020
| Parameters | Gold price (24 karats) |
| June 1 Rate | ₹ 47,070 |
| June 4 Rate | ₹ 47,070 |
| Highest Rate in June | ₹ 48,400 |
| Lowest Rate in June | ₹ 45,620 |
Gold Rate Trends in India May 2020
| Parameters | Gold price (24 karats) |
| May 1 Rate | ₹ 46,250 |
| May 4 Rate | ₹ 46,250 |
| Highest Rate in May | ₹ 47,600 |
| Lowest Rate in May | ₹ 45,300 |
Gold Rate Trends in India April 2020
(per gram rates of 24 karat gold)
| Parameters | Gold price (24 karats) |
| April 1 Rate | ₹ 4,253 / gram |
| April 4 Rate | ₹ 4,253 / gram |
| Highest Rate in April | ₹ 4,253 / gram on 1- 4 April |
| Lowest Rate in April | ₹ 4,253 / gram on 1- April |
Week 1 (1 – 4) April 2020:
Gold Rates have been stable since the last week of March as we enter the fourth month of fighting the Coronavirus. Investors shifting to cash by selling their assets has resulted in a considerable fall in Gold Rates.
In April, as the markets are still affected, Investors moved to the bullion market for its safe-haven demand. The price of gold in the country at the beginning of April was at ₹4,253 / gram and has been stable until the end of the first week.
Gold prices have been the same with no net change at the end of the first week of the month even after an increase of rates in global markets as well as fluctuations during the week.
Gold Rate Trends in India for March 2020 (rates/gram of 24 karat gold)
| Parameters | Gold price (24 karats) |
| March 1 Rate | ₹ 4,274 / gram |
| March 31 Rate | ₹ 4,253 / gram |
| Highest Rate in March | ₹ 4,536 / gram on 7 March |
| Lowest Rate in March | ₹ 4,111 / gram on 20 March |
Week 1 (01 – 07) March 2020:
As the Coronavirus started affecting the markets, the month of March opened with a Rate of ₹ 4,274 for a gram of gold which was a slight incline. This rate continued with no change until the 2nd of March. Investors faced low risk as the prices increased of the metal during the week.
The rate kept on increasing and was at ₹ 4,384 on the 3rd of March. To control the effect of the Coronavirus on the economy of the world, the rate of the metal increased with expectations from investors on another rate cut by the United States Federal Reserve. On the 4th of March, the rate increased and stood at ₹ 4,305 / gram, substantially increasing to ₹4,452 / gram on the 5th of March.
The gold rate was set to be at its peak as the rates were going to be the highest in 8 years along with fears of the Coronavirus returning as the cases as well as the death toll increased rapidly throughout the world. The price of gold on the 6th of March was ₹4,436 / gram and increased by ₹100 to ₹4,536 / gram on the 7th of March. The metal rates closed the week at the same price recording a weekly incline.
Week 2 (8 – 14) March 2020:
Gold was at ₹4,510 for a gram on the 8th of March. The week started with a decline in the rate by Rs 26 / gram. Even though gold prices crossed the $1,700 per ounce mark the following day in the international markets, the rates remained unchanged in India.
The rates dropped to ₹4,499 per gram on the 10th of March as worries about the growth outlook eased, and the dollar increased following U.S. President Donald Trump’s pledge to take steps to protect the economy from Coronavirus.
The rates were stable the next but dropped a considerable amount from the 12th of March due to increased concerns regarding the effect of Coronavirus on the economy after the world health officials declared it as a global pandemic and countries took measures to restrict and fight the spread of the virus by putting a restriction on public gatherings. Prices of Gold closed the week at ₹ 4,237 per gram which was the lowest during the month to date. There was an overall decrease in the price during the week.
Week 3 (15 – 21) March 2020:
India saw an overall weekly fall in the prices of gold in the third week of March and opened at ₹ 4,237 on the 15th of March. The rates fell as investors throughout the world are liquidating their assets to survive the global pandemic that is the Coronavirus.
The prices remained the same on the 16th with a marginal increase to ₹4,247 for a gram on the 17th of March. Also, Palladium hitting the lowest price in 18 yea₹ gold prices dropped heavily on the 18th of March to be priced at ₹ 4,153 per gram. As United States Federal Reserve announced emergency rate cuts and their failure of controlling the gold rates, the measures taken by the European Central Bank led to gold prices increasing to ₹ 4,226 for a gram on the 19th of March.
On the 20th of March, traders went back to heavy liquidation of assets; gold rates fell yet again to hit the lowest price of the week at ₹ 4,111 per gram on the 20th of March. The price of the gold bounced back marginally on the last day of the week and closed at ₹ 4,190 per gram in the country. There was an overall drop in the gold rate.
Week 4 (22 – 31) March 2020:
Gold prices in the country started the fourth week of March at ₹4,253 per gram. The rates were high per gram as compared to last week’s prices by ₹ 63.
Having opened the week at ₹ 4,253 per gram, the prices of gold didn’t see any change over the week in the country and were completely stable. However, the rates in the international market did fluctuate because of many reasons during the week. Investors continued to liquidate their possessions in the safe-haven metal despite various measures being announced to fight the damage caused by the pandemic to the world economy.
The opening and closing rates of gold were entirely the same, i.e., ₹4,253 per gram. As we went into a 21-day lockdown starting the 25th of March, Gold prices witnessed a declining trend in the country.
Gold Rate Trends in India February 2020 (rates/gram of 24 karat gold)
| Parameters | Gold price (24 karats) |
|
1st February Rate |
₹ 4,169 / gram |
|
29th February Rate |
₹ 4,368 / gram |
|
Highest Rate in February |
₹ 4,394 / gram on 25 and 26 February |
|
Lowest Rate in February |
₹ 4,116 / gram on 7 February |
Week 1 (1 – 9) February 2020:
During the first week of February, the rate of gold was at ₹ 4,169 per gram and fluctuated throughout. At the beginning of the week, the yellow gold was set to touch its 5-month high as a result of the Coronavirus on the global market.
The metal reached its highest rate of the month on the 4th of February at ₹ 4,195 per gram but soon reduced to 1% as the Central Bank in China decreased the reverse repo rates in the country to increase the inflow of liquidity into the economy.
As it hit the lowest price of the week on the 7th of February at ₹ 4,116 per gram as reports came of an anti-Coronavirus drug, the metal bounced back on the next day at ₹4,148 per gram as fears of the Coronavirus increased throughout the world with a higher number of cases and deaths. The metal closed the week at ₹ 4,148 per gram.
Week 2 (10 – 16) February 2020:
The yellow metal opened the following week of February at ₹ 4,148 per gram in the country.
We saw a lot of variations in the gold rates over the week. Gold prices fell to ₹ 4,142 per gram on the 13th of February after Dollar eased from a four-month high and stocks faltering.
The gold rates increased in the second half of the week. The rise in the rates was because of the investors investing in the safe-haven metal to cover against the impact of the coronavirus outbreak on the economy. Gold which after experiencing an increase in rates over the week closed at ₹ 4,211 per gram.
Week 3 (17 – 23) February 2020:
Gold opened the last week of the month at ₹ 4,211 per gram and held steady on the 17th of February 2020. During the week, gold showed an inclining trend in its prices due to increased safe-haven demand amongst investors. Gold rates dipped marginally on the 18th of February to ₹ 4,195 per gram as the value of the dollar increased slightly.
On the 19th of February, Gold held steady at ₹ 4,195 per gram and increased marginally to ₹4,237 for a gram on the 20th of February due to the investors shifting to the bullion market as the fears again began to increase of the Coronavirus and its effect on the global economy. The price of the metal increased to ₹4,268 per gram on the 21st of February.
Gold prices on the 22nd of February hit the ₹4,300 per gram mark because of safe-haven demand and rose to hit the monthly as well as its seven-year high in the global markets. Gold rates on the 23rd of January were ₹ 4,368 per gram and closed the week at the same price.
Week 4 (24 to 29) February 2020:
Gold opened the last week of February at ₹ 4,368 per gram. The rates were stable when compared to the previous week’s closing price.
The rates jumped to ₹4,394 per gram after staying the same on the following day as the U.S. dollar increased as the spread of Coronavirus beyond China drove fears of a pandemic and weighed on Asian currencies as well as on global equities.
Gold prices saw fluctuations during the past three days of the week. This was because of the investors seeking refuge in safe-haven assets and increased hopes of rate cuts by the majority of the central banks as coronavirus scare spurred safe-haven flows towards the bullion.
In India, Gold closed the week at ₹ 4,368 per gram. There was an overall increase in the prices of the metal.
Gold Rate Trends in India January 2020 (rates per gram of 24 karat gold)
|
Parameters |
Gold price (24 karats) |
|
January 1 Rate |
₹ 3,995 / gram |
|
January 31 Rate |
₹ 4,169 / gram |
|
Highest Rate in January |
₹ 4,211 / gram on 9 January |
|
Lowest Rate in January |
₹ 3,995 / gram on 1 January |
Week 1 (01 – 05) January 2020:
Gold Rates in India opened the new decade with a price of ₹ 3934.
As gold prices increased by over 19% in 2019, the metal increased to ₹ 4,011 for a gram as on the 2nd of January 2020 as the value of the dollar dropped in the global market. As traders, we’re in doubt regarding its capability to grow when compared to trade in metal; therefore, the dollar was under pressure at the beginning of the year.
On the 4th of January, Gold prices decreased slightly taking it to ₹ 4,069 per gram. However, on the 5th of January, rates increased yet again, closing the first week of the decade at ₹ 4,111 per gram.
Week 2(06 – 12) January 2020:
Gold rates opened the second week of January at ₹ 4,111 per gram. On the 7th of January, gold prices rose to ₹4,179 per gram because of ongoing tensions between the U.S. and Iran.
There was a slight decrease in prices on the 8th of January to ₹ 4,121 per gram as investors waited for a reaction from the U.S. President, Donald Trump. As the President decided to ease the tensions, the gold rates decreased further as the stock markets recovered. Gold prices hit the weekly high at ₹ 4,211 per gram on the 9th of January.
There was a great dip in the prices by ₹ 105 in the second half of the week and was priced at ₹ 4,106 per gram. As tensions between Iran and the USA eased further, traders transitioned back to the market for more risky bets. At the end of the week, the yellow metal was priced at ₹ 4,095 per gram. There was an overall decline in the rates.
Week 3(13 – 19) January 2020:
In the third week of January, gold prices were steady opening at ₹ 4,095 for a gram. In the global markets, the gold trend was at a low level during a renewed trade deal optimism between the U.S. and China.
On the 14th of January, gold rates dropped to ₹ 4,074 per gram as the investors were eagerly waiting for the trade deal to be made and the tensions to ease. On the 15th of January, the metal was the week’s lowest at ₹ 4,037 per gram as the interim trade deal was successfully signed between the two countries. Positive economic data in the USA also played a factor in the dip in gold prices.
On the 16th of January, the rate of gold increased slightly to ₹ 4,074 per gram in the country even when there was a reducing trend overseas. This was mainly because of a steady demand for gold, even though investors were fueled with a higher risk appetite after the signing of the trade deal was done. Gold prices closed the week at ₹4,074 per gram.
Week 4 (20 – 26) January 2020:
Gold prices stood at ₹ 4,074 per gram in the country on the 20th of January. The rates were the same as the closing price of last week.
The rates increased to ₹ 4,116 per gram on the 22nd of January as investors took shelter in the safe-haven metal rates as worries regarding the spread of the deadly Coronavirus in China and escalating tensions in the Middle East.
With investors calculating the risk of Coronavirus becoming a global pandemic, the rates of the metal reduced to ₹ 4,079 per gram on the 23rd of January. The rates closed the week at ₹ 4,142 per gram.
Week 5 (27 – 31) January 2020:
The last week opened with a slight increase in prices as compared to the previous week’s closing price. The gold rate stood at ₹ 4,142 per gram. As the spread of the Coronavirus in China increased, the price of the metal increased throughout the week because of its safe-haven feature.
Gold prices fluctuated in the primary half of the week at ₹ 4,158 per gram on the 28th of January and then dipped to ₹ 4,153 per gram on the 29th of January. This was mainly because of the market acquiring the stock of the virus’ impact on the global economy. Investors also were eagerly waiting on the decision to be made by the United States Federal Reserve on further rate cuts.
The gold prices hit its weekly low at ₹ 4,116 per gram on the 30th of January even with the global trends showing positive trends. As low local demand and investors were waiting for the decision by the United States Federal Reserve, the rate of gold dipped despite increasing widely in the global markets. On the 31st of January, the price of the metal increased in India and closed at ₹ 4,169 per gram.
Gold Rate Trends in India December 2019 (rates per gram of 24 karat gold)
|
Parameters |
Gold price (24 karats) |
|
December 1 Rate |
₹ 3,906 / gram |
|
December 29 Rate |
₹ 3,901 / gram |
|
Highest Rate in December |
₹ 3,927 / gram on 5 December |
|
Lowest Rate in December |
₹ 3,848 / gram on 14 December |
Week 1 (1 – 8) December 2019:
In India, gold prices stood at ₹ 3,906 and witnessed a drop in the prices of the metal in the first week of the month.
The rates were reduced in the first four days of the week because there were flipping reports on the United States-China trade deal. However, with the United States president stating that the talks were going in the right direction, the rates escalated to ₹ 3,927 per gram on the 5th of December.
Gold closed the week at ₹ 3,875 for a gram in the national capital. This was the lowest recorded rate for the metal in the first week.
Week 2 (9 – 15) December 2019:
Gold rates were at ₹ 3,875 per gram at the start of the week. The rate didn’t see any change when compared to the previous week’s closing price.
The rates were stable for a day before seeing an increase in the next couple of days as investors were waiting for clarity on whether there will be another round of U.S. tariffs on Chinese imports.
The gold rates were at their peak for the week on the 13th of December as the safe-haven feature was highlighted because of political uncertainties in the world’s biggest economy. The yellow metal closed the week at ₹3,885 per gram. There was an overall decrease in prices.
Week 3 (16 – 22) December 2019:
Gold started the third week at ₹ 3,885 per gram in the country. The price of the metal was stable since the previous week because of various global factors and as investors waited for clarity on the trade deal between the U.S. and China.
After decreasing by ₹10 on the 17th of December to ₹ 3,875 per gram, the metal’s price was steady in the market. On the 19th of December, the gold rates rose to ₹ 3,896 per gram as the Senate House decided to impeach United States President, Donald Trump on obstruction charges and power abuse.
By the end of the week, the rate of the yellow metal held steady decreasing marginally to ₹ 3,890 per gram and then slightly increasing to ₹ 3,896 per gram on the 22nd of December. Gold closed the week at an escalated price of ₹ 3,901 per gram due to persistent doubts on the U.S.-China deal.
Week 4 (23 – 29) December 2019:
Gold started the following week at ₹ 3,885 per gram in the country. The price of the metal was stable since the previous week because of various global factors and as investors waited for clarity on the trade deal between the U.S. and China.
After decreasing by ₹10 on the 17th of December to ₹ 3,875 per gram, the metal’s price was steady in the market. On the 19th of December, the gold rates rose to ₹ 3,896 per gram as the Senate House decided to impeach United States President, Donald Trump on obstruction charges and power abuse.
By the end of the week, the rate of the yellow metal held steady decreasing marginally to ₹ 3,890 per gram and then slightly increasing to ₹ 3,896 per gram on the 22nd of December. Gold closed the week at an escalated price of ₹ 3,901 per gram due to persistent doubts on the U.S.-China deal.
Gold Rate Trends in India November 2019 (rates per gram of 24 karat gold)
|
Parameters |
Gold price (24 karats) |
|
November 1 Rate |
₹ 3,892 / gram |
|
November 30 Rate |
₹ 3,828 / gram |
|
Highest Rate in November |
₹ 3,892 / gram on 1 November |
|
Lowest Rate in November |
₹ 3,803 / gram on 29 November |
Week 1 (01-03) November 2019:
Gold rate in India opened at ₹ 3,892 per gram in November as there were trade uncertainties and was prepared for a rise in rates for the second upcoming week. On the other hand, investors further speculated for a further cut in rates of interest by the Federal Reserve.
However, based on strong Chinese factory data, hopes were renewed on profit and the trade talks as well. The applications for unemployment benefits escalating in the U.S. The gold rates in the country marginally decreased to ₹3,890 per gram on 2nd November banking on reliable data.
The gold rate in India was steady on the 3rd of November and ended the first week of the month at the same price of ₹ 3,890 for a gram based on secure Chinese data and the trend being positive of U.S. jobs.
Week 2 (04-08) November 2019:
There was a decline in the prices of the metal during the second week of the month. Opening the second week at ₹ 3,892 per gram, the prices decreased to ₹ 3,886 per gram because of reliable job data in the U.S.
After further decreasing to ₹ 3,879 per gram on the 5th of November, because the optimism was gradually increasing in the trade deal between the two countries, gold rates reduced further.
On the 6th of November, gold rates decreased to ₹ 3,840 per gram and increased slightly to ₹ 3,860 for a gram on the 7th of November as stocks were stopped for some time due to trade uncertainty. The metal prices closed the month at a one-month low of ₹3,817 per gram.
Week 3 (09-17) November 2019:
In India, the gold rate saw a fluctuation in the third week of the month. Opening the week at ₹3,812 per gram, the price of the metal dipped to ₹3,806 per gram on the 11th of November as there were positive developments in the trade talks between the U.S. and China.
On the 12th of November, the rate of the metal touched a 3-month low at ₹3,803 per gram in the country because of upbeat risk appetite from investors as they transferred to the stock market hoping for positive trade talk leads.
Gold prices increased marginally on the 13th of November at ₹3,816 per gram as investors waited eagerly for the speech by President Donald Trump. As no signs of the trade deal being signed were seen, the investors transferred to the bullion as a safe-haven asset. The price of the metal then increased and closed the week at ₹3,827 per gram. There was an overall increase during the weak.
Week 4 (18 – 24) November 2019:
Gold prices depicted a fall in the prices in the last week of the month as the optimism slowly increased in the trade deal between the U.S. and China. On the 18th of November, gold rates opened the week at ₹ 3,818 per gram.
On the 19th of November, gold prices rose to ₹ 3,841 as an impeachment inquiry against the U.S. President Donald Trump tampered with the ongoing trade talks among the two economic superpowers.
On the 20th of November, the gold rates were holding steady with a marginal decrease at ₹ 3,837 per gram as the U.S. President threatened with new tariffs on Beijing and as the U.S. Senate gave support to the ongoing protests in Hong Kong.
Week 5 (25 – 30) November 2019:
Gold rates saw a lot of fluctuations in the following final week of November after opening the week at ₹ 3,806 per gram. There was a slight fall in prices when compared to last week’s closing price. Gold rates further reduced over the week as traders were waiting for further developments regarding the trade deal between China and U.S. Every gram of the 24-Karat Gold was traded for ₹ 3,803 on the 29th of November. This was the lowest price of gold of the month.
In India, gold rates closed the week at ₹ 3,828 per gram as no clear indication was provided by any of the two countries related to the trade deal.
Gold Rate Trends in India October 2019 (rates/gram of 24 karat gold)
|
Parameters |
Gold price (24 karats) |
|
Rate on 1st October |
₹ 3,722 / gram |
|
Rate on 31st October |
₹ 3,857 / gram |
|
Highest Rate in October |
₹ 3,872 / gram on 26 October and 27 October |
|
Lowest Rate in October |
₹ 3,722 / gram on 1 October |
Week 1 (1-6) October 2019:
Gold rate in India surged during the first week of the month after opening at ₹ 3,732, bolstered by festive demand and a rise in overseas demand which raised prices.
The gold price in India rose to ₹ 3,818 per gram on the 3rd of October as new trade developments on E.U. goods saw equities tumble and rising demand for bullion.
Gold Rates continued to rise during the week, as weak U.S. jobs data and increasing domestic demand buoyed sales, with a gold closing week at ₹3,830 per gram.
Week 2 (7-13) October 2019:
Gold opened the month of October at ₹ 3,722 per gram, and there was an increased demand in local markets due to the festive season in the country along with an increased demand overseas and saw a gradual increasing trend in prices. The gold rate in India was at ₹3,848 per gram on the 9th of October. It was constant on the 10th of October as well because of Turkey launching a military operation in Syria as there were enhanced tensions in the Middle East.
On the 13th of October, the rate of gold saw a marginal decrease to be priced at ₹3,826 per gram because of decreased global demand as well as ease in tensions in the trade war between the China and U.S.
Week 3 (14-20) October 2019:
Gold prices opened the 3rd week of the month with a low at ₹ 3,822 per gram as the optimism renewed around the trade talks.
However, on the 15th of October, the price of the metal increased to ₹ 3,856 per gram, hitting the weekly high ahead of the Brexit talks.
The price of the yellow metal steadied and eventually decreased marginally as the weak continued because of ease in Brexit anxiety.
Week 4 (21-27) October 2019:
The rate of Gold in the country opened week the 4th of October at ₹ 3,845 per gram on the 21st of October and quickly dropped to ₹ 2,829 per gram on the 22nd of October because of renewed cues on the Brexit deal and trade talks.
After increasing marginally on the 23rd of October being priced at ₹ 3,846 per gram, Gold rates held steady on the next day as well mainly due to uncertainties on the Brexit deal which made investors shift to the bullion.
However, on the 25th of October, the yellow metal nearly reached its 2-week high at ₹3,871 per gram because of weak economic data indicated another rate cut by the United States Federal Reserve. Also, there was a rise in local demand ahead of the festival of Diwali, resulting in rising rates of gold.
Week 5 (28-31) October 2019:
The price of gold was at ₹ 3,869 per gram in the last week of October, recording a marginal fall in prices as compared to the closing rate of last week. This was mainly because of ease in market tensions as the trade talks between China and the United States of America eased.
The price of the precious metal further dipped on the 29th of October to ₹ 3,836 per gram as the hopes of trade talks resulted in equities showing positive trends. However, gold prices increased marginally to ₹ 3,847 per gram on the 30th of October because of the possibility of delay in trade talks resulting in a rising focus on rate cuts by the U.S. Federal Reserve.
Gold rates showed positive signs on the 31st of October rising to ₹ 3,857 per gram as the U.S. Federal Reserve cut the rates of interest as expected by the investors due to weak economic data. Gold prices closed the week and month at the same price.
Gold Rate Trends in India September 2019 (rates per gram of 24 karat gold)
|
Parameters |
Gold price (24 karats) |
|
September 1 Rate |
₹ 3,876 / gram |
|
September 30 Rate |
₹ 3,799 / gram |
|
Highest Rate in September |
₹ 3,953 / gram on 4 September |
|
Lowest Rate in September |
₹ 3,758 / gram on 19 September |
Week 1 (1-8) September 2019:
● After a period of steady growth, gold prices in the country opened the week at ₹3,876 per gram despite a weak rupee and strong overseas cues.
● Gold price in India rose to ₹3,953 per gram on the 4th of September as weak U.S. jobs data renewed fears of an economic slowdown. However, increase inequities resulted in the metal trading lower at ₹3,885 for a gram on the 6th of September.
● Gold closed the week at ₹3,855 per gram on the 8th of September.
● Week 2 (9-15) September 2019:
● Gold rate in India continued to fall this week, opening at ₹3,842 per gram on falling retail demand and reducing investor interest.
● An increase in risk appetite and a rising dollar rate dented bullion appeal as the gold dropped to ₹3,799 per gram on the 12th of September. However, jewelry demand remained steady due to the following festive season.
● A resolution to the United States-China trade war bolstered equities, which capped gold gains as the gold price fell to ₹3,763 per gram on the 15th of September.
● Week 3 (16-22) September 2019:
● Gold rate in India continued to fall this week, opening at ₹3,807 per gram as a result of falling demand and reducing investor interest.
● An increase in risk appetite and a rising dollar rate dented bullion appeal as the gold dropped to ₹3,799 per gram on the 12th of September. However, jewelry demand remained steady due to the following festive season.
● A resolution to the United States-China trade war bolstered equities, which capped gold gains as the gold price fell to ₹3,763 per gram on the 22nd of September.
● Week 4 (23-30) September 2019:
● Weak overseas offtake impacted the rate of Gold in India, with the metal trading at ₹3,791 per gram on the 23rd of September even on a falling rupee and lacklustre jewelry demand.
● Gold price in India fell to ₹3,777 per gram on the 26th of September as investors booked profits amidst as dollar rate recovered mildly, as bullion lost favor.
● There was a nominal recovery over the weekend as retail sales rose, resulting in gold price ending the month at ₹3,799 per gram to record a 1.9% decline in price.
Gold Rate Trends in India August 2019 (rates/gram of 24 karat gold)
|
Parameters |
Gold price (24 karats) |
|
August 1 Rate |
₹ 3,481 / gram |
|
August 31 Rate |
₹ 3,876 / gram |
|
Highest Rate in August |
₹ 3,913 / gram on 29 August |
|
Lowest Rate in August |
₹ 3,481 / gram on 1 August |
● Week 1 (1-11) August 2019:
● Gold rate in India was steadily rising after opening the month at ₹ 3,481 per gram as there was renewed economic uncertainty increased its safe-haven appeal.
● Gold Prices rose to ₹ 3,563 per gram on the 5th of August as the United States indicated an increase in tariffs on Chinese goods led to markets sinking and the dollar rate falling.
● The gold price in India climbed to ₹3,750 per gram on the 8th of August as central banks cut interest rates, ending the week higher at ₹3,761 per gram on the 11th of August.
● Week 2 (12-18) August 2019:
● Gold price in India opened at ₹3,761 per gram before surging to ₹ 3,793 per gram on the 13th of August as fears took over regarding renewed trade tensions.
● A brief dip in gold rate to ₹ 3,755 for a gram on the 14th of August as the United States trade concessions to China bolstered equities, but recession fears increased bullion demand as gold surged to ₹ 3,799 for a gram on the 15th of August.
● Gold price slipped to ₹ 3,787 per gram on the 18th of August.
● Week 3 (19-25) August 2019:
● The rate of Gold in India opened week 3 at ₹3,766 per gram on the 19th of August lower than the closing rate of the previous week.
● The gold rate in India rose to ₹3,781 per gram on the 21st of August as the fears were renewed of recession and geopolitical crises rattling currency markets, boosting demand for safe-haven assets.
● Gold rates ended the week at ₹3,864 per gram on the 25th of August. There was an overall incline in the rate of gold.
● Week 4 (26-31) August 2019:
● Gold price in India continued to rise, opening the week higher at ₹3,904 per gram before slipping to ₹3,875 for a gram on the 27th of August on profit booking.
● The possibility of Sino-U.S. talks boosted equities and increased the dollar, though monetary stimulus plans and slowing growth saw prices soar to ₹3,913 per gram on the 29th of August.
● As the indications renewed of a resolution to the trade dispute, saw bullion demand decrease as the rate of Gold in India ended the month at ₹3,876 per gram. There was an overall slight increase in the gold rate.
FAQs About Gold
Gold is a precious metal that will never lose its grace as a premium commodity; therefore, it has created a unique space for itself in the investment world. As it is a natural resource, there is a constant disequilibrium between the demand and supply of gold, making gold an extremely precious commodity, with people viewing it as a safe and reliable investment option. The largest consumer of Gold in India, with reports indicating that the residents of the country own over 20,000 tonnes of this royal metal. There is more to gold, aspects which the majority of us don’t know.
✅ What is the best/right time to buy gold in India?
There is no right time to buy the yellow metal. However, there are always some periods where the demand for gold is low, and so are the rates. So, to make the most value of your investment, try to invest in the precious yellow metal in the off-season, i.e., when no significant festivals aren’t around as the festive season brings an instant hike in demand for the gold.
✅ Which are the different avenues to invest in Gold in India?
The days where to invest in gold, you had to buy it physically are long gone. There are many avenues available through which you can buy or invest in gold, with the major ones given below:
- Gold Mutual Funds – These are offered by many organizations, providing ease in investments through SIPs.
- Gold ETFs – Gold Exchange Traded Funds permit trading of the precious metal in units (by its weight), where the investment is viewed as a mutual debt fund by tax authorities.
- Gold Futures – Gold futures are majorly popular among certain investors with the MCX and NCDEX offering many avenues to invest in the metal using derivatives.
- E-gold – E-gold is the new option to invest in gold, offering flexibility to invest in gold with ease.
- Physical Gold – Physically purchasing gold in the form of coins, jewellery, bars, etc. will always account for a significant portion of the investment, as the new modes getting accepted slowly.
✅ How many grams of gold are there in one tola?
Gold is an expensive metal costing a reasonable amount for a gram of gold and is bought by weight. India has over 1.2 billion people, each one having different and unique modes of communication, including unique units of weight. Although there are internationally accepted units when we talk of weight, however, certain regions still have their own traditional units, the Tola being the most popular among such units.
1 Tola roughly weighs about 11.6 grams; therefore, 1 kg of gold weighs 85.7 Tolas (approximately). This unit is still in use in various cities and towns.
✅ How to buy Gold in India?
Buying gold is not a hard job, given the multiple options available, but there are a few things one should have in mind before spending a vast amount of money:
- Research – Gold rates vary daily and one should research before buying gold. Observing the market trends and staying aware of changes can ensure that you get a good deal, reducing the risk of getting cheated.
- Gold selection – Gold has many variations and is available to be purchased in different forms, with each one offering different qualities.
- Certification – There are numerous occasions where people are de-frauded in buying gold of poor purity, purely on account of blind faith in the seller. Make sure that the jeweller or anywhere from where you intend to buy from before purchasing the metal has a good record, and always insist on purity certification of gold.
- Online purchase – Individuals buying the metal online should ensure the authenticity of the seller, as the majority of sellers turn out to be fake on the internet.
✅ How to sell gold?
Gold is a liquid asset as it never goes out of demand. Selling gold is not a hard process, as most jewelers and pawn shops are willing to buy the metal at market rates. Individuals ready to sell their gold need to ensure that they are aware of the current gold rates, as buyers would try to negotiate, and having the market knowledge protects you from getting cheated.
Gold coins and gold bars attract better rates than jewelry and are easier to sell. Individuals who do not wish to sell their gold can take the loan against it and can later withdraw their gold from the bank after paying the loan amount back to the bank.
✅ What is 24 Karat Gold?
24 karat gold has no impurities being the purest form of gold that can be purchased. This purity is ideal for investments, and most investors prefer to buy 24 karat gold. You cannot make jewelry and only make bars or coins from 24 Karat gold making it the only drawback of the purest form of the metal.
✅ How to buy gold coins in India?
Gold coins are trendy in India and are available in different weights. Gold coins can be purchased from jewellers, banks, post offices, or online stores. The popular ones range from 1g to 10g weight bracket. Several online stores, as well as jewellers, sell these coins with the imprint of Gods or Goddesses.
One can walk into any jewellery store or bank and opt to buy a coin, albeit a PAN Card might be required if the amount is exceeding Rs 50,000. Most banks and jewellers offer a purity certificate with the coin, which hikes the cost of a coin. Gold coins can also be purchased based on purity, with the popular ones being 22 karats and 24 karats.
✅ How to buy gold bars in India?
Gold bars are mostly reserved for big investors. The gold bars can be bought in different weights, generally ranging between 500g and 1kg. Prominent jewellers and banks sell gold bars. These are also available online. One must check the purity and prevailing market prices before investing in bars.
✅ How U.S. treasury bond yields affect the gold prices in India today?
Typically, the United States treasury yields and gold rates have an inversely related relationship, which is further related to the Federal Reserve changes in interest rate.
✅ Is it worth investing in the gold schemes that are offered by jewelers?
Gold is a symbol of their status in society for significant citizens of the country. Taking into consideration how expensive gold is getting every year and how the majority of the population cannot afford it, gold schemes are a hit in the country. For starters, a prospective buyer/investor just needs to pay a small amount or EMI, and you get the money’s worth in terms of the end of the period decided.
