What affects gold rates in Calicut
The method used to calculate gold prices stays broadly similar, but the factors behind the calculation keep changing. This is why the gold rate in Calicut can rise or fall.
- International gold prices: Changes in the global gold market can directly influence domestic rates.
- USD-INR exchange rate: Gold is traded internationally in US dollars. If the rupee weakens, imported gold can become more expensive.
- RBI policy: Changes in interest rates can affect investor choices and demand for gold.
- Local demand: Gold purchases often increase during weddings, festivals and other occasions in Kerala.
- Global market sentiment: Economic uncertainty and geopolitical events can increase demand for gold as an asset.
- Inflation: Higher inflation can influence demand for gold as people look for assets that may retain value.
Government policies: Changes in import duties, taxes or other regulations can affect gold prices.
Understanding these factors can help you make better decisions when buying gold or considering a gold loan. Have eligible gold jewellery at home? Check your gold loan eligibility to understand your potential borrowing amount.
What is the difference between 18K, 22K and 24K gold?
Gold is measured in karats based on its purity. The higher the karat, the greater the amount of pure gold in the item. The choice between 18K, 22K and 24K depends on whether you need gold for jewellery or investment.
- 18K gold contains 75% pure gold. The other metals make it harder and more suitable for many types of jewellery.
- 22K gold contains about 91.6% pure gold. It is widely used for traditional and wedding jewellery.
- 24K gold contains about 99.9% pure gold. It is softer and mainly used for investment products such as coins and bars.
| Parameter | 18K Gold | 22K Gold | 24K Gold |
|---|
| Purity | 75% | 91.6% | 99.9% |
| Strength | Highest | High | Lower |
| Common Use | Diamond jewellery and daily wear jewellery | Traditional jewellery | Investment bars and coins |
| Price | Lowest | Higher | Highest |
How to check gold purity in Calicut
Before buying or pledging gold, it is important to verify purity of gold. Different methods can be used to verify its purity.
- BIS hallmark: Check the BIS hallmark and purity details on applicable hallmarked jewellery.
- Purity mark: Common purity marks include 750 for 18K, 916 for 22K and 999 for 24K gold.
- Acid test: A professional can use an acid-based test to assess the purity of a gold sample.
- Electronic testing: Gold testing machines can provide a quick estimate of the karat.
- XRF testing: X-ray fluorescence can analyse the composition without damaging the jewellery.
- Assay testing: A certified professional can carry out detailed testing to determine gold purity.
For the most reliable result, get your gold checked by a trusted jeweller or certified testing centre.
Wondering how much you can borrow on your gold? Just check your gold loan eligibility—it takes seconds and minimal paperwork!
How can you calculate the value of your gold?
You can estimate the value of your gold using its weight, purity and the applicable gold rate per gram.
Gold Value = Gold Weight × Gold Rate Per Gram
For example, if you own 50 grams of 22K gold and the applicable rate is Rs. 12,826 per gram:
50 × Rs. 12,826 = Rs. 6,41,300
The estimated market value would be Rs. 6,41,300. This is an approximate market value. The final value considered for a gold loan depends on the applicable valuation process, eligible gold purity and LTV.
Now that you know the estimated value of your gold, check your gold loan eligibility online.
How do gold rates influence gold investments?
Gold rates influence the value of physical gold, Gold ETFs, and Sovereign Gold Bonds (SGBs). While these products differ in structure, their performance is linked to movements in gold prices. Investors often monitor daily gold rates before purchasing jewellery, investing in Gold ETFs, or evaluating the value of existing gold holdings.