Gold, the shining metal, has been a part of human fascination since ancient times. It is not just a symbol of wealth and status, but also an investment option that is cherished by many. The rate of gold is an ever-changing number, influenced by multiple factors. In this article, we shall decode the rate of gold, and take a look at the current gold rate, such as today’s gold rate in Kerala.
Factors Affecting the Rate of Gold
1. Global Market Trends: As gold is a globally traded commodity, any changes in international market trends, supply and demand, political unrest, and financial instability can impact the rate of gold.
2. Currency Exchange Rates: The rate of gold is impacted by the exchange rate between currencies. The USD-INR exchange rate, for instance, has an impact on the rate of gold in India.
3. Local Demand and Supply: The rate of gold in different cities and states can also be impacted by local demand and supply. For example, the rate of gold in Kerala may be different from the rate of gold in Maharashtra due to different local demand and supply conditions.
4. Government Policies: Changes in government policies such as customs duties, excise duties, and taxation can have a significant impact on the rate of gold.
Today’s Gold Rate in Kerala
As of 22nd January 2022, the gold rate in Kerala was around Rs. 4,600 per gram for 22-carat gold. The current rate of gold in Kerala may vary from day to day, depending on global market trends, currency exchange rates, local demand and supply, and government policies. It is recommended to keep a lookout for the latest trends and make informed decisions about investing or buying gold.
Investing in Gold
Gold has always been a popular investment option in India, appreciated for its ability to hold value and provide a hedge against inflation. There are various ways to invest in gold, such as buying gold coins or bars, investing in gold ETFs, or Sovereign Gold Bonds (SGBs).
Gold ETFs are Exchange-Traded Funds that are traded on the stock exchange like shares. Their prices are linked to the rate of gold, and it is an easy way of investing in gold without the hassles of physical gold. SGBs are government securities denominated in grams of gold and offer an attractive interest rate of 2.5% p.a. The capital gains made on redemption after 3 years are also tax-free.
Tips for Buying Gold
1. Certified Gold: Always purchase certified gold from reputable jewellers. Certified gold signifies that the purity of gold is at par with the prescribed standards.
2. BIS Hallmark: Look for the BIS Hallmark on the gold jewellery you are purchasing. BIS (Bureau of Indian Standards) hallmark signifies that the jewellery is of the prescribed standards and is authentic.
3. Making Charges: Always compare the making charges applied by different jewellers before making a purchase. Making charges are the cost incurred by the jeweller in making the jewellery.
4. Gold Coins: Investing in gold coins is a viable option as they have a high resale value. Gold coins of 24-carat purity are recommended for investment purposes.
Conclusion
The rate of gold is impacted by various factors: global market trends, currency exchange rates, local demand and supply, and government policies. It is important to keep track of the evolving rate of gold to make informed decisions about buying or investing in gold. Investing in gold ETFs or SGBs can be an easy and secure way of owning gold as an investment.
Always purchase certified gold from reputable jewellers, check the BIS hallmark, and compare making charges while buying gold. Gold coins are a recommended investment option. Keep track of today’s gold rate in Kerala and other cities to make informed decisions about investing or buying gold.
