On the first day of the trading week, the shine of gold was seen fading a bit in the domestic and international bullion markets. In the global commodity markets, limited profit booking was recorded by investors due to the strength of US bond yields and pressure on the dollar index. Its direct impact was also seen in the Indian retail market, where the prices of the yellow metal remained sluggish in major metros. In the national capital Delhi, the price of 22 carat gold has slipped to ₹ 1,42,990 per 10 grams, while 24 carat pure gold is trading around ₹ 1,55,980 per 10 grams. Latest prices of 22K and 24K gold in major cities of the country including Delhi. Due to local taxes, octroi and transportation costs in the Indian bullion market, there is a slight difference in the prices of gold in different cities. The latest gold rates per 10 grams in major cities on the first day of the week were recorded as follows: City 22 carat gold (per 10 grams) 24 carat gold (per 10 grams) Delhi ₹1,42,990 ₹1,55,980 Mumbai ₹1,42,850 ₹1,55,840 Kolkata ₹1,42,850 ₹1,55,840 Chennai ₹1,42,850 ₹1,55,840 Bengaluru ₹1,42,850 ₹1,55,840 Ahmedabad ₹1,42,900 ₹1,55,890 Lucknow ₹1,42,990 ₹1,55,980 Main international and domestic reasons for the fall in gold prices Many global and domestic factors are believed to be responsible for this softening on the first day of the week: Rise in US treasury yields: American With 10-year bond yields remaining strong, the cost of holding non-interest-bearing assets such as gold increases internationally. Institutional investors avoided aggressive buying at higher levels and booked profits. Dollar index pressure: The strengthening of the dollar against other major global currencies makes imported gold a little costlier for buyers from other countries, impacting immediate demand. Stagnation in domestic demand: Retail buyers often wait for further correction in prices just ahead of the festive season purchases, due to which volumes have remained normal in the local bullion markets. Mathematics of Making Charges and 3% GST While buying jewellery, it is important for customers to understand that the price of gold quoted in the market is the 'base price'. When you buy ready-made jewelery from a jeweler's shop, the final billing amount is more than the base rate: Making Charges: Jewelers add making charges ranging from 10% to 18% depending on the design and workmanship. Goods and Services Tax (GST): GST is imposed by the Government of India at the rate of 3% on the total jewelery value (base price of gold + making charges). Hallmarking Fee: A nominal fee of ₹35 to ₹45 per jewelery is payable separately for BIS hallmarking certification. Checking purity and hallmarking is very important. While purchasing gold, always choose hallmarked jewelery only. The standard of 91.6% purity applies to 22 carat gold, on which it is mandatory to bear the 6 digit alphanumeric HUID (Hallmark Unique Identification) code of the Bureau of Indian Standards (BIS). Consumers can check the purity of gold and authenticity of jeweler's registration directly on their mobile by entering this HUID code through 'BIS Care App'.
