India Gold price today: Prices climb, FXStreet data shows

Gold advanced in India on Wednesday, data compiled by FXStreet show.

11,999.01 Indian Rupees (INR) per gram was the latest Gold price, compared with INR 11,930.59 on Tuesday.

At INR 139,945.30 per tola, Gold was higher than the previous day's INR 139,156.10 per tola.

Measurement Unit	INR Gold Price
1 Gram	11,999.01
10 Grams	119,982.50
Tola	139,945.30
Troy Ounce	373,209.00

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 to store value and facilitate exchange, Gold has held an important place throughout human history. Today, its appeal extends beyond its lustre and use in jewellery. Investors broadly regard the precious metal as a safe-haven asset, considering it a good investment when conditions are turbulent. With no dependence on a particular issuer or government, Gold is also widely regarded as a hedge against inflation and currency depreciation.

Central Banks Lead Gold Holdings

The largest holders of Gold are central banks. To support their currencies during turbulent periods, they typically diversify reserves and purchase Gold, reinforcing perceptions of economic and currency strength. Substantial Gold reserves can bolster confidence in a country's solvency. World Gold Council data show that 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. 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. Dollar depreciation generally 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 typically weigh on the metal's price, whereas selling in riskier markets generally supports it.

Key Drivers of Gold Prices

Numerous factors can shift Gold prices. Its safe-haven appeal means geopolitical instability or concerns over a deep recession can trigger a rapid rise. Because Gold pays no yield, lower interest rates tend to support it, while a higher cost of borrowing usually puts pressure on the metal. Most price movements, however, depend on the US Dollar (USD), since Gold is quoted in dollars (XAU/USD). Dollar strength tends to restrain Gold prices; a weaker Dollar is more likely to lift them.

(An automation tool was used in creating this post.)