Gold reached an all-time high today, Tuesday (November 28). According to the website of the Indian Bullion and Jewelers Association (IBJA), 10 grams of gold are priced at INR 61,895, marking an increase of INR 458 from the previous rate. Earlier this year, on May 4, gold had reached its all-time high at INR 61,646 per 10 grams.
Anuj Gupta, the Commodity and Currency Head at HDFC Securities, attributes the support for gold to the fluctuations in the share market. Due to these fluctuations, gold could potentially reach INR 67,000 per 10 grams in the next year.
Five reasons for the rise in gold:
- Significant volatility in the global market.
- Concerns about a global economic slowdown in 2024.
- Weakness in the Dollar Index.
- Central banks worldwide buying gold.
- Gold acting as a hedge against rising inflation.
Silver also reached INR 74,993 per kilogram, witnessing a splendid surge today. It has become more than INR 1,947 expensive compared to its previous rate of INR 73,046. This month, silver has experienced an increase of over INR 4,000.
November has seen a continuous upward trend in gold and silver prices:
- November 1: Gold at INR 60,896 per 10 grams, Silver at INR 70,825 per kilogram.
- November 28: Gold at INR 61,895 per 10 grams, Silver at INR 74,993 per kilogram.
The first series of the Sovereign Gold Bond is maturing on November 30. These bonds were issued on November 26, 2015, at an issue price of INR 2,684 per gram. The holders will receive a redemption value of INR 6,132 per unit, resulting in a return of approximately 128.5% over the past eight years.
Before purchasing gold, keep these four points in mind:
- Buy certified gold with the Bureau of Indian Standards (BIS) hallmark.
- Cross-check gold prices from various sources based on its karat (24, 22, or 18).
- Avoid cash payments and opt for digital transactions. Don’t forget to take a bill.
- Understand the resale policy and the buyback value of gold from the jeweler.
