Gold Prices Dip Slightly In India: Here's How Much You'll Pay Now

Gold prices in India took a hit on Wednesday, with the price per gram dropping to ₹8,036.74, down from ₹8,068.26 the last day, according to FXStreet.

This decrease has also affected the prices of larger quantities of gold, with 10 grams now costing ₹80,368.20 and 8 grams costing ₹64,295.92.

These prices are calculated by adapting international prices to the local currency and measurement units and are updated daily based on market rates, as local rates may vary slightly.

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However, the sudden rise in gold prices for the last two weeks has had a mixed response in the Kerala market. Gold prices have risen by $280-300 in the last month.

In November, the gold price fell from the $2,790 level to $2,536 and then rose again by about $406 to reach $2,942. The  Indian rupee has weakened against the dollar to 87.80, and currently, the Indian rupee is at 86.86. 

During the November to February seasonal demand period, even though the Israel-Gaza ceasefire came, Trump’s trade war and the ensuing tensions and policies, and the strong global fear arising from it, increased the demand for gold as a safe investment. Moreover, Trump’s comment that interest rates should be lowered was also beneficial for gold,” said Adv S Abdul Nasar, State General Secretary, All Kerala Gold and Silver Merchants Association.

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“Moreover, Trump’s moves against dollarisation, as well as his policies and fears that they would raise inflation, increased demand from central banks and others as a natural hedge against it as a global currency. Trump’s moves to strengthen the dollar could further increase demand for gold as a global currency,” he added.

The price of gold has risen by about 46% in the last year. The growth in the last 4 or 5 years is also about the same.