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

Gold traded lower in India on Friday, with figures compiled by FXStreet showing a decline in prices.

At 12,225.43 Indian Rupees (INR) per gram, gold was cheaper than on Thursday, when it was priced at INR 12,280.85.

On a per-tola basis, gold slipped from INR 143,241.50 a day earlier to INR 142,615.30.

Measurement Unit	Gold Rate in INR
1 Gram	12,225.43
10 Grams	122,268.20
Tola	142,615.30
Troy Ounce	380,253.80

To calculate gold prices in India, FXStreet converts international prices into local currency using USD/INR and adjusts them to local measurement units. Prices are updated daily based on the market rates taken at the time of publication. Prices are just for reference and local rates could diverge slightly.

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Common Questions About Gold

What makes gold an investment choice?

Widely used both to preserve wealth and to facilitate exchange, gold has occupied an important place throughout human history. Beyond its lustre and use in jewellery, the precious metal is now widely regarded as a safe-haven asset, or a sound investment during periods of uncertainty. Its independence from any particular issuer or government also underpins its widespread appeal as a hedge against inflation and currency depreciation.

Which buyers hold the largest gold reserves?

The largest holdings of gold belong to central banks. To shore up their currencies during unsettled periods, they typically diversify reserves and purchase gold, seeking to strengthen perceptions of both the economy and the currency. Substantial gold reserves can reinforce confidence in a country's solvency. According to the World Gold Council, central banks expanded their reserves by 1,136 tonnes of gold, valued at around $70 billion, in 2022. No higher annual purchase has been recorded since records began. Among emerging economies, China, India and Turkey are rapidly building up their central bank gold reserves.

How does gold move relative to other assets?

Both the US Dollar and US Treasuries are major reserve and safe-haven assets, and gold generally moves inversely to them. A fall in the Dollar tends to lift gold, allowing investors and central banks to diversify their holdings during uncertain periods. An inverse relationship also exists between gold and risk assets: rising equity markets tend to put pressure on gold prices, whereas selling in riskier markets generally supports the precious metal.

Which factors drive gold prices?

Several influences can shift gold prices. Given the metal's safe-haven appeal, geopolitical turmoil or concerns over a severe recession can trigger a rapid price rise. Gold pays no yield, so lower interest rates tend to support it, while a higher cost of borrowing usually puts it under pressure. However, because gold is quoted in dollars (XAU/USD), most price movements hinge on the performance of the US Dollar (USD). Dollar strength tends to restrain gold prices; a softer Dollar, by contrast, is likely to lift them.

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