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The gold rate in India today, August 26, 2023 is ₹58,720 per 10 grams for 24 carat gold and ₹53,790 per 10 grams for 22 carat gold. The rates are down by ₹10 per 10 grams from yesterday’s closing rates.
The gold prices have been volatile in recent weeks, due to a number of factors, including the ongoing war in Ukraine and the rising inflation in the United States.
The war in Ukraine has caused a spike in the prices of commodities, including gold, as investors seek safe-haven assets. The rising inflation in the United States has also put pressure on the gold prices, as investors sell gold to raise cash to meet their expenses.
Despite the recent volatility, the gold prices are still expected to remain strong in the long term, due to its inherent value as a safe-haven asset.
Here are some factors that can affect the gold rate in India:
- International gold prices: The gold rate in India is influenced by the international gold prices, which are determined by the supply and demand for gold in the global market.
- Rupee-dollar exchange rate: The gold rate in India is also affected by the rupee-dollar exchange rate. A weaker rupee makes gold more expensive in India, as it becomes more expensive to buy gold in dollars.
- Inflation: Inflation can also affect the gold rate in India. When inflation is high, investors tend to buy gold as a hedge against inflation. This increases the demand for gold and pushes up the prices.
- Interest rates: Interest rates can also affect the gold rate in India. When interest rates are high, investors tend to shift their money from gold to other investments, such as bonds, which offer higher returns. This lowers the demand for gold and pushes down the prices.
The gold rate is a dynamic market and the prices can change frequently. It is important to stay updated on the latest gold rates before making any investment decisions.
