Gold and Silver Prices Drop Slightly in India Today
Gold and silver prices in India experienced a slight decline on February 26, as 24-carat gold was priced at ₹16,168 per gram, down by ₹21. Similarly, 22-carat gold stood at ₹14,820 per gram, which is ₹20 lower than the previous day. The price of 18-carat gold was quoted at ₹12,126 per gram, marking a decline of ₹16.
India is the second-largest consumer of gold globally, following China. The majority of its demand is met through imports and recycled domestic bullion. Domestic gold prices are heavily influenced by several factors, including import duties, taxes, bond yields, and the fluctuations of the dollar, alongside international prices.
In major metro cities, the gold prices varied slightly. In Chennai, 24-carat gold was priced at ₹16,277 per gram, while in Mumbai, it was ₹16,168. Delhi reported a price of ₹16,183 per gram, and Kolkata and Bangalore had similar prices as Mumbai.
Moving on to silver, the price today stands at ₹285 per gram, equivalent to ₹2,85,000 per kilogram. India is the world’s largest consumer of silver, and demand is mainly driven by its use in jewelry and various industrial applications. Just like gold, silver prices in India are also influenced by global market trends, import duties, and taxes.
In metro cities, silver prices were reported as follows: Chennai had silver priced at ₹2,950 per 10 grams, while Mumbai, Delhi, Kolkata, and Bangalore all reported ₹2,850 per 10 grams. Hyderabad saw a slightly higher price of ₹2,950 per 10 grams.
Globally, gold prices have been rising due to increasing geopolitical tensions and uncertainties in the global market. Spot gold climbed 0.5% to $5,188.76 an ounce, extending gains after a nearly 6% rise over the last six trading sessions. With gold gaining almost 20% this year, it has become a favored option for investors concerned about world events.
Investing in gold is often seen as a safe bet during economic and geopolitical instability, as it acts as a hedge against inflation and offers strong liquidity. On the other hand, silver is regarded as an attractive investment due to its dual role as a precious and industrial metal. The strong demand from India’s jewelry sector, alongside industrial applications, supports its price outlook, making it accessible to a wider range of investors compared to gold.
