Gold prices in India increased on Thursday, according to FXStreet data. The price per gram rose to 13,705.30 Indian Rupees (INR), up from 13,662.52 INR on Wednesday. Similarly, the price per tola climbed to 159,855.70 INR from 159,356.90 INR the previous day. Other unit prices included 137,058.10 INR for 10 grams and 426,282.70 INR for a troy ounce [1]. FXStreet calculates these prices by adapting international gold prices (USD/INR) to local currency and measurement units, with daily updates based on market rates at the time of publication. It is noted that these prices are for reference and local rates may diverge slightly [1].
Central banks remain the largest holders of gold, with purchases reaching 1,136 tonnes worth approximately $70 billion in 2022, marking the highest yearly purchase since records began, according to the World Gold Council. Emerging economies such as China, India, and Turkey are rapidly increasing their gold reserves [1].
Gold is widely regarded as a safe-haven asset and a hedge against inflation and depreciating currencies, making it a popular investment during turbulent times. The price of gold is influenced by factors such as geopolitical instability, recession fears, and the behavior of 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 have shown a modest increase, reflecting ongoing demand and central bank accumulation. The market impact is medium, with gold continuing to serve as a safe-haven asset amid global uncertainties. Investors may look to gold as a hedge against inflation and currency depreciation.