Gold prices in India rose on Friday, according to FXStreet data. The price for gold stood at 13,072.48 Indian Rupees (INR) per gram, an increase from INR 12,986.65 per gram on Thursday. Similarly, the price per tola increased to INR 152,472.70 from INR 151,473.80 a day earlier. The price for 10 grams was reported at INR 130,723.20, and for a troy ounce at INR 406,597.90 [1].
FXStreet notes that gold prices in India are calculated by adapting international prices (USD/INR) to the 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 report also provides context on gold's role as a safe-haven asset and its use as a hedge against inflation and depreciating currencies. Central banks, particularly from emerging economies such as China, India, and Turkey, have been increasing their gold reserves, with central banks globally adding 1,136 tonnes of gold worth around $70 billion to their reserves in 2022, marking the highest yearly purchase since records began, according to the World Gold Council [1].
Gold's price is influenced by a variety of factors, including geopolitical instability, recession fears, and movements in the US Dollar. The metal is inversely correlated with the US Dollar and US Treasuries, and tends to rise when the Dollar weakens or when risk assets sell off [1].
CONCLUSION
Gold prices in India have experienced a notable increase, reflecting both local and international market dynamics. The rise underscores gold's continued appeal as a safe-haven asset and its importance in central bank reserves. Market participants may continue to monitor currency movements and global economic conditions for further direction.