How is the Gold Price Today Calculated?
The gold price you see on this page is derived from the international spot price, the rate at which gold is traded in real time on global bullion markets such as London and New York. This rate is quoted in US Dollars per troy ounce (31.1035 grams), and our tracker converts it into Indian Rupees per gram, per 10 grams, and per tola using the live USD to INR exchange rate.
The international spot price is not the same as the price you would pay at a local jeweller. The retail price in India is typically higher because it includes:
- Import Duty — around 6% on imported gold
- GST — 3% Goods and Services Tax
- Dealer or Jeweller Premium — varies by city and demand, often 2-8%
- Making Charges — applicable on jewellery only, varies by design
We've added an "Estimated India Retail Price" calculator above with an adjustable dealer premium slider so you can get a closer estimate to what you might actually pay.
Factors That Affect Gold and Silver Prices
Factors affecting Gold price
- US Dollar strength — gold and the dollar typically move in opposite directions
- Inflation expectations — gold is a widely used inflation hedge
- Central bank buying — large purchases by RBI or other central banks affect price
- Geopolitical tension — wars and instability drive safe-haven demand
- Interest rates — higher rates generally reduce gold's appeal
Factors affecting Silver price
- Industrial demand — electronics, solar panels, medical equipment
- Mining supply — disruptions affect available supply
- Investor sentiment — silver attracts speculative trading
- Gold price movement — silver often follows gold with larger swings
24K vs 22K vs 18K Gold — Which One Should You Buy?
| Karat | Purity | Best For |
|---|---|---|
| 24K | 99.9% pure | Investment — coins, bars, SGBs |
| 22K | 91.6% pure | Traditional Indian jewellery |
| 18K | 75% pure | Lightweight western jewellery |
| 14K | 58.3% pure | Everyday wear, more durable |
24K gold is too soft for jewellery that needs to withstand daily wear, which is why jewellers mix it with other metals to create 22K gold. If buying purely as an investment, 24K coins, bars, or Sovereign Gold Bonds are usually the better choice since they carry no making charges.
How to Buy Gold and Silver in India
- Physical Gold/Silver — jewellery, coins, or bars. Pros: tangible, can be worn. Cons: making charges, storage risk.
- Sovereign Gold Bonds (SGB) — issued by RBI, pays 2.5% annual interest plus appreciation. No making charges or GST.
- Gold ETFs — traded on exchanges, backed by physical gold. Easy to buy/sell, no storage hassle.
- Digital Gold — buy small amounts online, backed by physical gold in vaults.
- Silver ETFs and Silver Bars — similar structure for silver, useful for diversification.
Gold vs Silver as an Investment
| Aspect | Gold | Silver |
|---|---|---|
| Volatility | Lower | Higher |
| Primary Use | Store of value, jewellery | Industrial + investment |
| Entry Cost | Higher per gram | Lower per gram |
| Inflation Hedge | Strong | Moderate |
5 Tips Before Buying Gold or Silver Jewellery
- Always check the hallmark — look for BIS hallmarking
- Compare making charges — these range from 3% to 25%
- Ask for a price breakdown — metal value, making charges, GST separately
- Buy on festivals cautiously — premiums can be higher
- Keep the bill safe — needed for resale or insurance