India Gold price today: Gold rises, according to FXStreet data
Gold prices rose in India on Tuesday, according to data compiled by FXStreet.
The price for Gold stood at 9,278.60 Indian Rupees (INR) per gram, up compared with the INR 9,231.73 it cost on Monday.
The price for Gold increased to INR 108,222.00 per tola from INR 107,677.10 per tola a day earlier.
| Unit measure | Gold Price in INR |
|---|---|
| 1 Gram | 9,278.60 |
| 10 Grams | 92,784.49 |
| Tola | 108,222.00 |
| Troy Ounce | 288,595.70 |
Daily digest market movers: Gold edges lower as the Greenback climbs
Gold price has consolidated within the $3,300-$3,350 area during the last few days as trade tensions rose after Trump imposed tariffs on several countries, including USMCA trade partners Canada, Mexico and the EU.
The Greenback’s strength is pressuring Bullion prices. The US Dollar Index (DXY), which tracks the performance of the Dollar’s value against a basket of six currencies, rises 0.25% to 98.10.
Another reason for XAU weakness is that US Treasury yields are rising, with the 10-year T-note up one basis point to 4.427%.
Investors are awaiting the release of June’s Consumer Price Index (CPI) in the United States. The CPI is expected to jump from 2.4% to 2.7% YoY. The underlying print is foreseen at 3% YoY, up from 2.8%, well above the Fed’s 2% goal. This justifies the current monetary policy stance by the Fed, which repeatedly said that tariffs are inflation prone, triggering another wave of inflation.
This would exert pressure on the Fed, which so far has witnessed a sudden change of views about the current monetary policy. Governors Waller and Bowman and San Francisco Fed President Mary Daly leaned to the dovish side, expecting at least two rate cuts in 2025.
Data from the CBOT suggests that market players are expecting 47 basis points of easing by the Fed toward the end of 2025. Data from the Chicago Board of Trade revealed that market players are eyeing 49 basis points (bps) of easing in 2025.
FXStreet calculates Gold prices in India by adapting international prices (USD/INR) to the local currency and measurement units. Prices are updated daily based on the market rates taken at the time of publication. Prices are just for reference and local rates could diverge slightly.
Gold FAQs
Gold has played a key role in human’s history as it has been widely used as a store of value and medium of exchange. Currently, apart from its shine and usage for jewelry, the precious metal is widely seen as a safe-haven asset, meaning that it is considered a good investment during turbulent times. Gold is also widely seen as a hedge against inflation and against depreciating currencies as it doesn’t rely on any specific issuer or government.
Central banks are the biggest Gold holders. In their aim to support their currencies in turbulent times, central banks tend to diversify their reserves and buy Gold to improve the perceived strength of the economy and the currency. High Gold reserves can be a source of trust for a country’s solvency. Central banks added 1,136 tonnes of Gold worth around $70 billion to their reserves in 2022, according to data from the World Gold Council. This is the highest yearly purchase since records began. Central banks from emerging economies such as China, India and Turkey are quickly increasing their Gold reserves.
Gold has an inverse correlation with the US Dollar and US Treasuries, which are both major reserve and safe-haven assets. When the Dollar depreciates, Gold tends to rise, enabling investors and central banks to diversify their assets in turbulent times. Gold is also inversely correlated with risk assets. A rally in the stock market tends to weaken Gold price, while sell-offs in riskier markets tend to favor the precious metal.
The price can move due to a wide range of factors. Geopolitical instability or fears of a deep recession can quickly make Gold price escalate due to its safe-haven status. As a yield-less asset, Gold tends to rise with lower interest rates, while higher cost of money usually weighs down on the yellow metal. Still, most moves depend on how the US Dollar (USD) behaves as the asset is priced in dollars (XAU/USD). A strong Dollar tends to keep the price of Gold controlled, whereas a weaker Dollar is likely to push Gold prices up.
(An automation tool was used in creating this post.)
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