Indian gold rates again dropped marginally today, although the precious metal could maintain a moderate rate in the international markets. Gold prices in India have fallen by Rs. 20, today on October 20. So, 22 carat gold rates are quoted at Rs. 46,490/10 grams and 24 carat gold rates are quoted at Rs. 47,490/s10 grams.
The Comex gold future today gained by 0.49% and was quoted at $1779.2, while the spot gold prices hiked by 0.55% and were quoted at $1779.90/oz till 3.04 PM IST. On the other hand, the US dollar index in the spot market hiked by only 0.04% and stood at 93.85 at the same time. In India, the Mumbai MCX gold in October future gained only by 0.28% today till 3.05 PM IST and was quoted at Rs. 47,414/10 grams.
Indian gold rates before Diwali are not being able to gain significantly. The might bother the jewellers but certainly, it is a good sign for common buyers and investors. Earlier, the pandemic wreaked a severe impact on Indian jewellery demand, which was slashed 42% in 2020 by a combination of the sharp economic slowdown, higher local gold prices, and postponement of weddings. But now, as the economy is recovering from the slowdown, the demand for gold jewelleries is increasing. So, subdued rates are profitable for investors.
Gold rates in different Indian cities are quoted differently, daily. Today's gold rates in major Indian cities follow:
|City||22 carat (INR/10 Grams)||24 carat (INR/10 Grams)|
Jordan Roy-Byrne told Kitco, on the recent gold price margins, "Current fundamentals for Gold are not bullish, and that is reflected in recent price action. However, persistent inflation (a view which the market has started to adopt) will lead to bullish fundamentals in Gold. The market discounts in advance, and the turning point could be when the Fed hikes interest rates. History shows this is usually a very bullish catalyst for Gold and gold stocks. Expectations for a rate hike are surging. The market has priced in two hikes next year and is showing a 50-50 chance of a rate hike as soon as June 2022."