India Gold price today: Prices fall, FXStreet data shows

India’s gold prices declined on Friday, data compiled by FXStreet showed.

12,227.85 Indian Rupees (INR) was the price per gram of gold. That was lower than Thursday’s INR 12,314.31.

At INR 142,623.30 per tola, gold was down from INR 143,631.70 per tola the previous day.

Measurement Unit	INR Gold Price
1 Gram	12,227.85
10 Grams	122,278.50
Tola	142,623.30
Troy Ounce	380,339.50

To calculate gold prices in India, FXStreet converts international prices into local currency and measurement units using USD/INR. Daily updates reflect market rates at the time of publication. Prices are just for reference and local rates could diverge slightly.

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Gold: Key Questions

Gold’s Investment Appeal

Widely used as both a store of value and a medium of exchange, gold has held an important place throughout human history. Today, its appeal extends beyond its lustre and use in jewellery. The precious metal is widely regarded as a safe-haven asset and therefore a good investment during periods of turmoil. With no dependence on a particular issuer or government, gold is also widely viewed as a hedge against inflation and currency depreciation.

Gold’s Largest Buyers

The largest holders of gold are central banks. To support their currencies during turbulent periods, they typically diversify reserves and purchase gold, strengthening perceptions of their economies and currencies. Substantial gold reserves can bolster confidence in a country’s solvency. According to the World Gold Council, central banks increased their reserves by 1,136 tonnes of gold, valued at around $70 billion, in 2022. No larger annual purchase has been recorded since records began. Emerging-economy central banks, including those in China, India and Turkey, are rapidly expanding their gold reserves.

Gold’s Relationship With Other Assets

Both major reserve and safe-haven assets, the US Dollar and US Treasuries have an inverse correlation with gold. A depreciating Dollar typically supports gold, allowing investors and central banks to diversify their holdings during turbulent periods. Risk assets also tend to move in the opposite direction to gold. Stock market gains generally weigh on the gold price, whereas selling in riskier markets tends to benefit the precious metal.

Key Drivers of Gold Prices

A broad range of factors influences gold prices. Its safe-haven status means geopolitical instability or concerns about a deep recession can trigger a rapid price surge. Gold pays no yield, so lower interest rates tend to support it, while higher borrowing costs usually weigh on the metal. Nevertheless, because gold is priced in dollars (XAU/USD), most price movements depend on the performance of the US Dollar (USD). Dollar strength generally restrains gold prices; a weaker Dollar, by contrast, is likely to lift them.

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