Gold prices in India increased on Thursday, according to data compiled by FXStreet. Gold price movement in India reached 6,636.30 Indian Rupees (INR) per gram, rising from 6,608.96 INR on Wednesday.
Daily Price Updates
The cost for gold per tola climbed to 77,404.45 INR from 77,085.63 INR the previous day.
Unit Measures and Prices
Here’s a breakdown of gold prices in different measures:
| Unit Measure | Gold Price in INR |
|---|---|
| 1 Gram | 6,636.30 |
| 10 Grams | 66,362.95 |
| Tola | 77,404.45 |
| Troy Ounce | 206,412.00 |
Factors Influencing Gold Price Movement
Several factors contribute to the fluctuation in gold prices in India. The primary factors include international gold price movement, currency exchange rates (USD/INR), local demand and supply, and government policies regarding import duties. Let’s delve deeper into these factors.
International Gold Prices
The international market plays a significant role in determining gold prices in India. The global demand and supply dynamics, geopolitical tensions, and economic conditions impact gold price worldwide. Any significant movement in the international market directly affects local prices.
Currency Exchange Rates
The USD/INR exchange rate is another crucial factor. Since gold is traded globally in USD, any fluctuation in the exchange rate impacts the gold price in India. A weaker INR against the USD usually leads to higher gold prices locally.
Local Demand and Supply
Festivals, weddings, and cultural events in India drive the demand for gold. During festive seasons, the demand for gold price increases, pushing the prices higher. Conversely, during off-seasons, the demand drops, potentially leading to lower prices.
Government Policies
Government regulations, such as import duties and taxes, also impact gold prices. Higher import duties can make gold more expensive, while favorable policies can reduce the prices. Keeping an eye on government announcements and policy changes is essential for understanding price movements.
Price Calculation Method
FXStreet determines gold prices in India by translating international prices (USD/INR) into the local currency and measurement units. These prices are updated daily based on market rates at the time of publication and are meant for reference; local rates might slightly differ.
Investment Insights
Investing in gold is viewed as a secure option during economic instability. Knowing the factors that affect gold prices can assist investors in making well-informed choices. It is advisable to keep track of market trends, global events, and economic indicators to anticipate price movements.
Gold as a Long-term Investment
Gold has historically proven to be a valuable long-term investment.It serves as a protection against inflation and changes in currency values. Investors often allocate a portion of their portfolio to gold to diversify and mitigate risks.
Short-term Trading Opportunities
For short-term traders, price volatility presents opportunities for profit. Analyzing market trends, staying updated on global events, and using technical analysis can help identify potential buying and selling points.
To stay updated on the latest gold prices, visit Daily Gold Signal. For detailed daily gold updates, check here.
