India Gold price today: FXStreet data show a decline in Gold prices

Gold traded lower in India on Friday, as reflected in figures compiled by FXStreet.

Against Thursday’s level of INR 12,314.31 per gram, gold was priced at 12,227.85 Indian Rupees (INR) per gram.

On a per-tola basis, gold slipped from INR 143,631.70 a day earlier to INR 142,623.30.

Measurement Unit	Gold Rate in INR
1 Gram	12,227.85
10 Grams	122,278.50
Tola	142,623.30
Troy Ounce	380,339.50

To calculate gold prices in India, FXStreet converts international prices into local currency and measurement units using USD/INR. The daily updates reflect market rates at the time of publication. Prices are just for reference and local rates could diverge slightly.

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Gold: Common Questions Answered

What makes Gold an investment choice?

Throughout human history, gold has served extensively as both a store of value and a medium of exchange, giving it a significant role. Beyond its lustre and use in jewellery, the precious metal is now widely regarded as a safe-haven asset, or a favourable investment during periods of turmoil. Its independence from any particular issuer or government also underpins the widespread view of gold as a hedge against inflation and currency depreciation.

Which buyers hold the most Gold?

The largest holdings of gold belong to central banks. To support their currencies during turbulent periods, they typically diversify reserves and purchase gold, seeking to strengthen perceptions of their economies and currencies. Substantial gold reserves can bolster confidence in a country’s solvency. World Gold Council data show that central banks increased their reserves by 1,136 tonnes of gold, valued at around $70 billion, in 2022. No annual purchase on record has been higher. Among emerging economies, China, India and Turkey are rapidly expanding their central bank gold reserves.

How does Gold move relative to other assets?

Both the US Dollar and US Treasuries, major reserve and safe-haven assets, have an inverse correlation with gold. A weakening Dollar generally supports a rise in gold, allowing investors and central banks to diversify their holdings during unsettled periods. Risk assets also tend to move in the opposite direction to gold: gains in equities typically weigh on the metal’s price, whereas selling in riskier markets usually supports it.

Which factors drive Gold prices?

A broad range of influences can drive gold prices. Its safe-haven appeal means geopolitical turmoil or concerns over a severe recession can send prices sharply higher. Because gold offers no yield, lower interest rates tend to support it, while a higher cost of borrowing generally puts pressure on the metal. Nevertheless, the behaviour of the US Dollar (USD) drives most price movements, since gold is quoted in dollars (XAU/USD). Dollar strength typically restrains gold prices; a weaker Dollar, by contrast, is likely to lift them.

(This post was created with the help of an automation tool.)