Gold Price Chennai, April 16: Yellow Metal Prices Jump, Check 22K, 24K Cost

Gold prices registered a rally in Chennai on April 16 after witnessing decline on April 15, 2024. The prices of yellow metal are highest in Chennai all across India. Gold prices India are less when compared with yellow metal prices in the city. Today 22 carat of 10 grams gold in Chennai is retailing at Rs 68,700 after the surge of Rs 800 while cost of 24 carat of yellow metal in the southern city stands at Rs 74,970 after the gain by Rs 880.

If you want to buy 100 grams of 22k gold in Chennai today, be prepared to pay the highest prices all over India at Rs 6,87,000 after the jump by Rs 8000. The price of 100 grams of 24k yellow metal in India today is Rs 7,49,500 after the surge by Rs 8,800.

Meanwhile, cost of 10 grams of 18 carat gold in India today is Rs 56,280, after the jump by Rs 660.

Gold prices registered a decline on April 15 when prices of 24K yellow metal fell by Rs 710 to Rs 74,070/10 grams and price of 22k gold fell by Rs 650 to Rs 67,900/10 grams.

Meanwhile, gold prices surprisingly recorded sharp jump on Sunday in Chennai. 22K gold prices Chennai on April 14 jumped by Rs 750 to 68,550/10 gram. Price of 24K yellow metal in Chennai on April 14 rallied by Rs 820 to Rs 73,960, highest among several cities in the country. Meanwhile, 18K yellow metal price Chennai scaled its new high of Rs 56,150 after the rally of Rs 610 yesterday.

Why Gold Prices Differ In Different Cities Of India?

Demand for yellow metal varies by city and state in the country. South India accounts for nearly 40% of India's total gold consumption. It is worth noting that Kerala consumes approximately a third of gold imported by India. On the other hand, demand for gold is higher in cities such as Mumbai, Chennai, Delhi, and Kolkata when compared with tier 2 cities. It allows sellers to purchase gold in bulk at discounted prices. Consequently, they can sell at lesser prices, according to Groww.in.

It is interesting to note that local jewellery or bullion associations also play significant role in fixing the gold prices within a city. For instance, The Jewellers and Diamond Traders' Association, Madras, plays significant role in fixing gold prices in Tamil Nadu. Similarly, there are several other associations across India that decide the local gold rates.

Meanwhile, purchase price of gold emerged as most important factor in influencing gold rates in different cities. Jewellers who have stock bought at reduced rates can charge lower rates.

Commenting on how gold price will move today, Anuj Gupta, Head of Commodity & Currrency at HDFC Securities said, "Overall outlook for gold price today looks positive. Rise in the geo-political tension due to the Iran-Israel conflict in Gaza is expected to continue supporting the gold price rally. So, any dip in gold rates today should be seen as a buying opportunity