Gold Rate Today

0
Today’s Gold Rate in India
22 Karat
43720Per 10g of 22k Gold

Gold Rate Today

India uses almost a quarter of the world’s gold, making it the largest consumer of the metal in the world as a whole. India has been the primary user of the metal since long and uses gold in the form of jewellery and for 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.Gold Rate Today

Gold can be seen as a safe place where investments can be made even when the market is not in good condition.

A lot of critical factors go in 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 in determining it which are variable.

Gold Rate Trends in India April 2020

(per gram rates of 24 karat gold) 

Parameters

Gold price (24 karat)

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

Overall Performance

 

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 of 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 karat)

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

Overall Performance

Decline

 

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 till 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 in 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 karat)

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

Overall Performance

Incline

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 karat)

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

Overall Performance

Incline

 

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 took the decision 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. A positive economic data in the USA also played a factor for 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 karat)

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

Overall Performance

Decline

 

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 its 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, 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, 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 karat)

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

Overall Performance

Decline

 

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 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 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 the 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 karat)

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

Overall Performance

Incline

 

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, 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:

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 karat)

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

Overall Performance

Decline

 

      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, jewellery 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, jewellery 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 jewellery 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 favour.

      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 karat)

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

Overall Performance

Incline

 

 

      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.

      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.

      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.

 

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

 

Why is the gold price increasing in India?

Gold rates in the country vary daily as a number of 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 a number of commodities, including gold. Increasing taxes results in increased gold market rates.

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 offers highly 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 dematerialised form in a DEMAT account.

Again, SGBs are kept in a DEMAT account and offers 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 in a similar manner. To start off, 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.

 

 

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 vary.

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 as 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 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 the 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.

FAQs about Gold

Gold is a precious metal which 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 organisations, providing ease in investments through SIPs.

Gold ETFs – Gold Exchange Traded Funds permits 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 on 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 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 jewellers 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 jewellery 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 which can be purchased. This purity is ideal for investments, and most investors prefer to buy 24 karat gold. You cannot make jewellery 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 on the basis of 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 bonds 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 jewellers?

Gold is a symbol of their status in the 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 dsaat the end of the period decided.

 

 

 

 

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