Chennai: Gold prices have fallen again today for the third consecutive day. Since Monday, gold prices have dropped by Rs. 1,040 per sovereign over the past 3 days.
Gold prices are determined based on factors including the global economic and political situation, crude oil prices, the value of the Indian rupee against the US dollar, investment in gold, and the performance of global stock markets.
India is among the leading countries in the world in importing gold. The impact of the conflict between the US and Iran is being reflected in the global economy. It has also affected gold sales at the international level.
The U.S. Federal Reserve is expected to raise interest rates again this month (October). Experts have said this will have an impact on gold prices.
Last May, the central government raised the customs duty on gold from 6 percent to 15 percent. In addition, on Sept. 1, Prime Minister Narendra Modi told the people of the country, “Do not buy gold unnecessarily.”
Following this, gold is being traded in the market with fluctuations in price. In this situation, yesterday the price of gold fell twice in a single day, once in the morning and again in the evening. Notably, it dropped by Rs. 1,280 per sovereign yesterday alone.
Today's Price Details:
In this situation, in Chennai, the price of 22-carat jewellery gold today (Oct. 14) has decreased by Rs. 95 per gram and is being sold at Rs. 13,590 per gram, while the price per sovereign has decreased by Rs. 760 and is being sold at Rs. 1,08,720 per sovereign.
Among the main reasons for the decline in gold prices in the international market, the US dollar's value being at an 18-month high is cited as an important factor.
In addition, the rise in the interest rate on U.S. bonds to 5.27% is also being cited as a reason. Therefore, since bonds offer higher interest returns, investors are not showing interest in gold, which does not pay interest. Along with this, experts say that expectations over U.S. inflation data and profit booking at peak prices are also causing gold prices to continue falling.
There is no change in silver prices today either. One gram costs Rs. 245. Bullion silver is being sold at Rs. 2,45,000 per kilogram.
