What is Gold Rate Today in India?
Today's gold rate in India stands at ₹12,268 per gram for 24 karat gold and ₹11,245 per gram for 22 karat gold as of October 31, 2025. Gold prices in India are influenced by international gold prices, USD-INR exchange rates, and local demand-supply dynamics.
The current rates show an upward trend with a daily increase of ₹120 (+0.98%) for 24K gold. This positive momentum reflects global economic uncertainties and increased investment demand during the festive season.
Key Highlights:
- 24 Karat Gold: ₹12,268/gram | ₹1,22,680/10 grams
- 22 Karat Gold: ₹11,245/gram | ₹1,12,450/10 grams
- Daily Change: +0.98% (₹120 increase)
- Month High: ₹13,084 | Month Low: ₹11,587
- Year-to-Date Change: +18.2%
Gold Purity Explained: 24 karat gold is 99.9% pure and is considered the purest form, ideal for investment purposes like coins and bars. 22 karat gold contains 91.67% pure gold mixed with other metals like copper and silver for added durability, making it perfect for jewellery.
Factors Affecting Gold Prices in India
Gold prices in India are determined by multiple interconnected factors that influence both supply and demand dynamics. Understanding these factors helps investors make informed decisions about gold purchases.
1. International Gold Prices
Indian gold rates are directly linked to international gold prices quoted on exchanges like COMEX and London Bullion Market. When global gold prices rise or fall, Indian prices follow suit with a time lag.
2. USD-INR Exchange Rate
Since gold is traded internationally in US dollars, the rupee-dollar exchange rate significantly impacts domestic prices. A weaker rupee makes gold more expensive in India, while a stronger rupee reduces prices.
3. Demand and Supply
India is the world's second-largest gold consumer. Seasonal demand during festivals (Diwali, Dhanteras, Akshaya Tritiya) and wedding seasons drives prices up. Import volumes and domestic production also affect supply dynamics.
4. Government Policies and Import Duty
The Indian government currently levies a 15% import duty on gold, along with 3% GST. Changes in these policies directly impact retail gold prices. Import restrictions and regulations also play a crucial role.
5. Inflation and Interest Rates
Gold is considered a hedge against inflation. When inflation rises, investors flock to gold, driving prices higher. Conversely, high interest rates make fixed deposits and bonds more attractive, potentially reducing gold demand.
6. Global Economic Events
Geopolitical tensions, economic uncertainties, stock market volatility, and central bank policies influence gold prices. Gold is a safe-haven asset that appreciates during times of crisis and economic instability.
How to Check Gold Purity in India
Verifying gold purity is essential to ensure you're getting genuine gold at the right price. Here are the most reliable methods:
1. BIS Hallmark Verification
The Bureau of Indian Standards (BIS) hallmark is the most trusted certification for gold purity in India. Look for the BIS mark along with a unique 6-digit alphanumeric HUID (Hallmark Unique Identification) on the jewellery. You can verify this code on the BIS website.
2. Understanding the Karat System
- 24 Karat (24K): 99.9% pure gold - Softest form, used for investment
- 22 Karat (22K): 91.67% pure gold - Most popular for jewellery
- 18 Karat (18K): 75% pure gold - More durable, used in designer jewellery
- 14 Karat (14K): 58.3% pure gold - Very durable, less expensive
3. Visual Inspection
Examine the jewellery for BIS hallmark, purity stamp (like 916 for 22K, 999 for 24K), and jeweller's identification mark. Genuine gold has a consistent color and doesn't tarnish or fade over time.
4. Professional Testing
Reputable jewellers use methods like acid testing, electronic gold testers, or X-ray fluorescence (XRF) machines to verify purity. Always insist on these tests before making a purchase.
5. Magnet Test (Basic Check)
Gold is not magnetic. If a piece of jewellery is attracted to a strong magnet, it contains other metals. However, this test alone isn't conclusive as some non-magnetic metals can be mixed with gold.
Types of Gold Investment in India
Gold investment in India has evolved beyond physical jewellery. Here are the various ways to invest in gold:
1. Physical Gold (Jewellery, Coins, Bars)
Advantages: Tangible asset, cultural value, can be used as jewellery
Disadvantages: High making charges (8-25%), storage concerns, liquidity issues
Best for: Those who value physical possession and cultural significance
2. Digital Gold
Purchase gold online in denominations as small as ₹1. The gold is stored in secure vaults, and you can take physical delivery anytime.
Advantages: No making charges, easy to buy/sell, starts from ₹1, secure storage
Disadvantages: Storage fees, no instant physical delivery, platform dependency
Best for: Young investors seeking convenience and flexibility
3. Gold Exchange Traded Funds (ETFs)
Gold ETFs are mutual funds that invest in physical gold. One unit typically represents 1 gram of gold.
Advantages: High liquidity, transparent pricing, no storage worries, can be held in demat form
Disadvantages: Requires demat account, expense ratio charges, no physical gold
Best for: Investors seeking portfolio diversification with high liquidity
4. Sovereign Gold Bonds (SGBs)
Issued by the Reserve Bank of India, SGBs offer 2.5% annual interest plus capital appreciation based on gold prices.
Advantages: Fixed interest income, government-backed security, tax benefits, tradable on exchanges
Disadvantages: 8-year lock-in period, available only during specific windows
Best for: Long-term investors seeking regular income along with gold appreciation
5. Gold Mutual Funds
These funds invest in Gold ETFs and other gold-related securities.
Advantages: Professional management, SIP option available, no demat account needed
Disadvantages: Expense ratios, indirect gold exposure
Best for: Investors preferring professional fund management