Gold prices in India increased on Monday, according to FXStreet data. The price for gold stood at 14,367.49 Indian Rupees (INR) per gram, up from INR 14,310.60 on Friday. Similarly, the price per tola rose to INR 167,581.00 from INR 166,917.50 on Friday. The price for 10 grams was reported at INR 143,676.10, and for a troy ounce at INR 446,879.20 [1].
FXStreet notes that gold prices in India are calculated by adapting international prices (USD/INR) to local currency and measurement units, with daily updates based on market rates at the time of publication. The article highlights that local rates may diverge slightly from these reference prices [1].
The article provides context on gold's role as a safe-haven asset and its use as a hedge against inflation and depreciating currencies. It also mentions that central banks, particularly from emerging economies such as China, India, and Turkey, have been increasing their gold reserves. In 2022, central banks added 1,136 tonnes of gold worth around $70 billion to their reserves, the highest yearly purchase since records began, according to the World Gold Council [1].
Gold's price is described as being influenced by factors such as geopolitical instability, recession fears, interest rates, and the strength of the US Dollar. Gold typically has an inverse correlation with the US Dollar and US Treasuries, and tends to rise when the Dollar weakens or during sell-offs in riskier markets [1].
CONCLUSION
Gold prices in India saw a notable increase, reflecting both local and international market dynamics. The rise underscores gold's continued appeal as a safe-haven asset and its sensitivity to global economic factors. Market participants may continue to monitor gold prices closely amid ongoing economic uncertainties.