Gold Prices, November 12th: 24-18 Carats Gold Falls; But Yellow Metal Gives 22% Returns In 1 Year

On the day of Laxmi Pujan, the prices of gold ranging from 24 carats to 18-carats were cheaper. On Sundar, traders and investors will make key investments in stocks, digital golds, mutual funds, ETFs, and physical gold for prosperity in their fortune. This day is seen as a lucky charm and the market will also be open for one hour in the evening for trading. However, despite the latest drop, this pristine metal has given 22% returns outperforming Indian benchmarks Sensex and Nifty 50.

In India, prices of 24-carats, 22-carats, and 18-carats dropped in the range of Rs 1 to Rs 100 on 1 gram to 100 grams.

10 grams in 22-carat was available at Rs 55,540, down by Rs 10 from the previous day, while 24-carat was priced at Rs 60,590, also lower by Rs 10 from the previous day. A similar trend was seen in 18-carat gold per 10 grams as well which was priced at Rs 45,440, down by Rs 10 over the previous day.

Across cities in India, per 10 grams in 22-carat ranged from Rs 55,500 to Rs 56,000, while 24-carat and 18-carat were available between Rs 60,500 to Rs 61,100, and Rs 45,400 to Rs 45,900 respectively.

According to Motilal Oswal Asset Management Company's (MOAMC) Global Market Snapshot Report in October 2023, Indian stock markets exhibited a negative trend, highlighted by a 2.84% fall in the Nifty 50 index, with the Midcap 150 index leading the decline at 3.80%. However, the report by MOAMC notes that in commodities Gold has seen a positive change/has given positive returns of 21.84% in the past year, while change/ returns on Silver is 21.05%. As of October 31, 2023, Gold is priced at 1,996.9 $/ounce while Silver is 23.2 $/ounce.

Motilal further highlighted that in the Indian market, with the exception of Realty, all sectors reported negative performance. The Metals sector saw the steepest decline, dropping by 6%. It added, that factor-based investment strategies, including Momentum, Low Volatility, Quality, and Value, all delivered negative returns for October. Momentum experienced the most significant decline at 4%.

In the case of the upside, Motilal's note pointed out that the Financial Services sector remained a key driver of returns for the Nifty 500 index, contributing 0.88% to the overall 2.84% decline in the index during October 2023.

Meanwhile, in the US market, the brokerage mentioned that the S&P 500 and NASDAQ 100 both experienced a 2% decline in October 2023, with the Healthcare and consumer Discretionary sector being the largest contributor to the S&P 500's fall. Globally, both emerging and developed markets saw negative performance, with declines of 4% and 3%, respectively. South Korea witnessed the most significant drop at 7%, while Switzerland led the decline in developed markets with a 5% fall.

Lastly, in commodities, Motilal Oswal also said that crude oil prices nosedived by 11% during October, due to rising geo-political risks, low demand from the US and mixed Chinese data. On the commodities front, precious metals were in the green with gold and silver prices rising by 7% and 1% respectively, amid rising tensions in the Middle East. Cryptocurrencies like Bitcoin and Ethereum are soaring at 29% and 9%, respectively.

Hence, gold has seen a positive change and has given positive returns in 12 months.