Gold and silver continue to shine in the Indian bullion market. Global economic uncertainties, fluctuations in foreign exchange rates, and strong domestic demand are pushing gold prices toward new record levels. Gold prices again surged significantly in major metropolitan cities today, particularly in Mumbai, the country’s financial capital, and Kolkata, a major business hub in eastern India. The price of 22-carat gold has risen to around ₹1,36,000 to ₹1,37,260 per 10 grams. Meanwhile, 24-carat pure gold prices have surpassed ₹1,48,000 per 10 grams. This recent surge in gold prices has sparked significant activity among jewelry buyers and investors.
Latest Gold Prices in Mumbai, Kolkata, and Other Major Cities
Gold and silver prices vary slightly across different states and cities due to differences in local taxes, octroi, and freight charges. According to the latest rates released today, 22-carat gold in Mumbai is trading between ₹1,36,428 and ₹1,37,260 per 10 grams, while pure 24-carat gold is priced at ₹1,48,830 per 10 grams. Similarly, in Kolkata, 22-carat gold is selling between ₹1,36,244 and ₹1,37,260 per 10 grams, and 24-carat gold is selling around ₹1,48,630 per 10 grams.
In the capital city of Delhi, the price of 22-carat gold remains at ₹1,36,189 per 10 grams, and 24-carat gold at ₹1,48,570 per 10 grams. In Chennai, a major center in South India, 22-carat gold has reached ₹1,36,822 per 10 grams, and 24-carat gold at ₹1,49,260 per 10 grams. Additionally, in Bengaluru, Hyderabad, and Ahmedabad, 22-carat and 24-carat gold prices have also increased by ₹250 to ₹500 per 10 grams.
What is the main difference between 24-carat, 22-carat, and 18-carat gold?
When purchasing gold, consumers often have confusion about carat and purity. 24-carat gold is considered the purest, containing 99.9 percent pure gold. This gold is extremely soft, so it is primarily used for investment purposes in the form of gold coins, ingots, bars, or digital gold. Intricate jewelry cannot be made from 24-carat gold because it can easily bend.
In contrast, 22-carat gold contains 91.67 percent pure gold, with the remaining 8.33 percent being a mixture of other metals such as copper, silver, or zinc. The addition of other metals makes the gold harder and stronger, allowing for durable jewelry and ornaments. Most jewelers use 22-carat gold for jewelry making. Additionally, 18-carat gold, which is 75 percent pure, is primarily used to strengthen diamond-studded jewelry and trendy designer jewelry.
Why are gold prices rising? Understand the Mathematics of the International Market
Several global and domestic economic factors are responsible for this steady rise in gold prices. Demand for gold in the international market, both in spot gold and in the COMEX futures market, remains strong. Central banks worldwide are purchasing large quantities of gold to safeguard their foreign exchange reserves. Additionally, the possibility of interest rate cuts by the US central bank and global geopolitical tensions have attracted investors to gold as a safe-haven asset.
Whenever global stock markets become volatile or inflationary pressures increase, investors seek to shift their funds from equities and other risky assets to gold. Changes in the exchange rate of the US dollar against the Indian rupee also impact the import price of gold in India. A strengthening of the dollar or a weakening of the Indian rupee increases the cost of gold imports, which directly impacts domestic retail prices.
Silver prices also surge: Price per kg crosses ₹2.25 lakh
Along with gold, silver prices also recorded a significant increase today. In the Indian bullion market, the price of 999 fine silver has risen from ₹225,000 to ₹226,630 per kg. Silver is selling at ₹226,230 per kg in Mumbai, ₹225,830 per kg in Delhi, and ₹226,880 per kg in Chennai.
The primary reason for the surge in silver prices is the significant increase in industrial demand. Silver is used extensively in solar panel manufacturing, electric vehicle (EV) batteries, 5G infrastructure, and the electronics industry. Silver has also emerged as an attractive asset for investors due to its dual advantages of industrial demand and safe investment.
Impact on demand ahead of festivals and wedding season
In India, gold is not just a metal or an investment instrument; it is an integral part of our social and cultural traditions. This surge in gold prices ahead of upcoming festivals like Dhanteras, Diwali, and the wedding season that follows has put pressure on the budgets of middle-class buyers. Bullion traders say that although the price increase is initially making buyers a little cautious.