Gold prices in India increased on Thursday, according to FXStreet data. The price per gram of gold rose to 12,873.52 Indian Rupees (INR), up from 12,824.85 INR on Wednesday. Similarly, the price per tola increased to 150,154.80 INR from 149,586.60 INR the previous day. The price for 10 grams was reported at 128,735.70 INR, and for a troy ounce at 400,410.60 INR [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 data is intended for reference, and local rates may diverge slightly [1].
The article highlights that gold is widely considered a safe-haven asset and 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 adding 1,136 tonnes of gold worth around $70 billion to their reserves in 2022, according to the World Gold Council. This was the highest yearly purchase since records began [1].
Gold's price is influenced by various factors, including geopolitical instability, recession fears, and movements in the US Dollar. Gold typically has an inverse correlation with the US Dollar and US Treasuries, and tends to rise when the Dollar depreciates or when risk assets decline [1].
CONCLUSION
Gold prices in India experienced a notable increase, reflecting both local and international market dynamics. The rise underscores gold's ongoing role as a safe-haven asset and its sensitivity to global economic factors. Market participants may continue to monitor gold prices closely amid evolving economic conditions.
