Gold Price Today: 22-Carat and 24-Carat Gold Rate

Gold Price Today: 22-Carat and 24-Carat Gold Rate
by 5paisa Research Team 18/10/2021

Gold has been a valuable asset class from times immemorial. In India, gold has been one of the most preferred asset classes, with Indian households owning more than $1.30 trillion just in the form of domestic gold.

Types of Gold – Classified by Purity

One of the most popular classifications of gold is based on carats. Incidentally, carat measures the purity of gold and higher the carat value, higher is the purity of gold. Broadly, gold has 5 popular classifications based on purity, which is captured as under.
 

Particulars

24-Carat

22-Carat

18-Carat

14-Carat

10-Carat

Gold Purity

99.95%

91.67%

75.00%

58.33%

41.67%


Higher the purity, more malleable and softer will be the gold. Hence 24-carat gold is rarely used for jewellery as daily wear and tear will make it lose shape. The most popular for gold jewellery is 22-carat gold which has 91.67% purity. However, even 22-carat gold cannot hold diamonds and studded gems. Hence for jewellery with studded stones or diamonds, normally lower purity gold of 18-carat or 14-carat is used. Lower carat gold consists of a mix of gold with silver, nickel and zinc.

 

Trends in gold prices and gold rates

The most popular gold rate today for trading and futures purposes is normally the 24-carat gold with higher purity. Hence, when we talk of gold price today in the case of financial markets it refers to 24-carat gold. Similarly, when we talk of gold rate today for gold jewellery, it refers to 22-carat gold, which is normally not traded in financial markets.
 

Gold Price Today Vs Gold Price Yesterday

Date

Gold Purity

Gold Price (1 gm)

Gold Purity

Gold Price (1 gm)

Oct-18-21

22-Carat Gold

₹ 4,707

24-Carat Gold

₹ 4,807

Oct-14-21

22-Carat Gold

₹ 4,697

24-Carat Gold

₹ 4,797

Change (Rs.)

22-Carat Gold

₹ 10.00

24-Carat Gold

₹ 10.00

Change (%)

22-Carat Gold

0.21%

24-Carat Gold

0.21%

 

In gold, the opening price becomes the benchmark price. The gold price today for 24-carat gold and the gold rate today for 22-carat gold are indicative rates that are not inclusive of GST, applicable tax collection at source, making charges and other levies.

 

10 Days Historical Gold Prices

To get a trend perspective of gold prices, let us look at the gold prices over the last one week and the daily trend of gold prices of 22-carat gold and 24-carat gold on a sequential basis.

Date Gold Price (22 Carat) Gold Price (24 Carat) Sequential Trend
18-Oct-21 Rs.4,707 per gram Rs.4,807 per gram Up
17-Oct-21 Rs.4,697 per gram Rs.4,797 per gram Same
16-Oct-21 Rs.4,697 per gram Rs.4,797 per gram Same
15-Oct-21 Rs.4,697 per gram Rs.4,797 per gram Same
14-Oct-21 Rs.4,697 per gram Rs.4,797 per gram Up
13-Oct-21 Rs.4,629 per gram Rs.4,729 per gram Up
12-Oct-21 Rs.4,603 per gram Rs.4,703 per gram Up
11-Oct-21 Rs.4,594 per gram Rs.4,694 per gram Same
10-Oct-21 Rs.4,594 per gram Rs.4,694 per gram Same
09-Oct-21 Rs.4,594 per gram Rs.4,694 per gram Same

 

Frequently asked questions (FAQ) on Gold Rates


1.  What factors affect the gold rate? 

A number of factor go into the pricing of gold Jewellery demand is one factor, but the most important factor is economic or geopolitical uncertainty. This leads to a spike in the price of gold as it is seen as a safe haven asset. Gold is inversely related to dollar and equities.

 

2.  Is gold rate today and silver rate the same?

Gold is more of a precious metal which is a safe haven asset class. Silver, is more of a commodity with extensive industrial application. However, an important factor in gold and silver pricing globally is the gold/silver ratio.

 

3.  What causes gold rate to drop?

Normally, gold rates fall when the dollar strengthens or when equities are robust. Similarly, when there is news of an increase in GDP, then gold prices drop. Gold prices can also drop if the ETF demand for gold goes down.

 

4.  Why does gold rate increase? 

The most common reason for an increase in gold rate is the rise in economic and geopolitical uncertainty. If you look at the past, gold rates have risen in times of the global financial crisis, during the COVID pandemic, during the Iran embargo etc.

 

5.  Which cities get affected by gold rate fluctuation? 

While gold is most actively traded in the Mumbai markets in terms of spot bullion and in terms of gold futures, the biggest demand for gold comes from Kerala state. This is the state that consumers maximum gold overall and obviously also on a per capita basis.

 

6.  Is it a good time to buy gold?

There is normally, not good time to buy gold. Investors must ideally look at gold allocation in the range of 10-15% of their overall asset allocation. This excludes your jewellery holdings. The holding can tweaked in the range based on gold prices.

 

7.  Is it good to invest in digital gold?

Digital gold is convenient in that it is held in electronic mode. Also, digital gold is backed by equivalent physical gold that is ring-fenced in a vault owned by a nodal government organization like MMTC. It is a new asset class, though brokers have been asked to desist from selling digital gold by SEBI.

 

8.  What is digital gold? 

Digital gold is held in electronic mode. Digital gold is backed by equivalent physical gold that is ring-fenced in a vault owned by a nodal government organization like MMTC. It is a new asset class and the big advantage is that you can buy and sell small fractions of gold.

 

9.  How does digital gold work?

Digital gold are electronic gold holdings created against physical gold. Such gold is certified by a globally reputed agency and backed by ring-fenced gold. Investors even fractional grams of gold and platforms like Paytm, Phone Pe and GPAY are popular platforms for digital gold.
 

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