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|Historical Price of Gold Rate in Chennai in 6 Months|
Gold Price in Chennai
Gold is a hugely important commodity in Chennai, the capital of South-Indian state Tamil Nadu. Chennai ranks above all other cities and towns in India when it comes to gold trade. This cosmopolitan city boasts the maximum number of sales and purchases of gold in India.
In keeping with the rest of the country, the people of Chennai purchase gold mainly in the form of jewelry. Needless to say, there are a number of jewelry establishments spread in and around the city to meet this demand. Gold rates or prices are updated on a daily basis and can be obtained from those dealing in gold or online via many financial sites.
India imports most of its gold requirements from abroad. Chennai which doesn’t have any significant gold production also contributes to the country’s need to substantiate gold demand through imports. Even though gold is bought as jewelry, it is done for reasons beyond ornamentation. Such purchases form a part of many buyers’ investment portfolio.
Gold Rate Trend in Chennai for September 2019 (rates per gram of 24 karat gold)
|Parameters||Gold price (24 karat)|
|September 1 Rate||Rs.3,876 per gram|
|September 15 Rate||Rs.3,763 per gram|
|Highest Rate in September||Rs.3,953 per gram on 4 September|
|Lowest Rate in September||Rs.3,763 per gram on 14 and 15 September|
September 2019- Week 1 (1-8):
- The month began with gold rates in Chennai trading at Rs.3,876 per gram, rising to Rs.3,904 per gram on 3 September on steady investor interest and economic uncertainty.
- Weak U.S. economic data and falling global currencies unsettled markets and increased bullion’s safe-haven appeal, as the metal surged to Rs.3,953 per gram on 4 September.
- The Federal Reserve’s indication of a stimulus package buoyed the dollar and equities, as bullion fell to Rs.3,855 per gram on 8 September to record a weekly loss in value.
September 2019- Week 2 (9-15):
- Gold prices in Chennai opened at Rs.3,842 per gram but weak local demand and a rise in risk appetite dampened demand for bullion, with prices dropping to Rs.3,816 per gram on 11 September.
- A rise in U.S. Treasury yields boosted equity demand as investors reduced bullion offtake, further denting precious metal prices which fell to Rs.3,787 per gram on 13 September.
- Despite local jeweller demand being steady, a rise in the dollar rate and declining overseas interest resulted in the yellow metal ending the week at Rs.3,763 per gram to record a second weekly loss.
Gold Rate Trend in Chennai for August 2019 (rates per gram of 24 karat gold)
|Parameters||Gold price (24 karat)|
|August 1 Rate||Rs.3,481 per gram|
|August 31 Rate||Rs.3,876 per gram|
|Highest Rate in August||Rs.3,913 per gram on 29 August|
|Lowest Rate in August||Rs.3,481 per gram on 1 August|
August 2019- Week 1 (1-11):
- The week began with gold prices in Chennai priced at Rs.3,481 per gram before climbing to Rs.3,587 per gram on 4 August as investors increased bullion offtake due to economic downturn fears.
- Gold Rates soared to Rs.3,661 per gram on 6 August as renewed U.S.-China trade tensions rattled markets and led to currencies faltering.
- A recovery in stock markets did not dent gold’s lustre as the metal rose to Rs.3,747 per gram on 9 August, rising to Rs.3,761 per gram when the week ended on 11 August.
August 2019- Week 2 (12-18):
- Steady overseas demand saw gold rates in Chennai open at Rs.3,761 per gram before prices jumped to Rs.3,793 per gram on 13 August on the metal’s rising safe-haven appeal.
- After a brief plunge to Rs.3,755 per gram on 14 August, an increase in industrial and overseas demand boosted rates to Rs.3,799 per gram on 15 August.
- A possible resolution to the Sino-U.S. trade crisis and the upcoming Fed Reserve meeting tempered bullion demand as prices slipped to Rs.3,787 per gram when the week ended on 18 August.
August 2019- Week 3 (19-25):
- After a brief drop, gold rates in Chennai traded at Rs.3,766 per gram on 19 August on weakened overseas demand and plummeting retail interest due to the high price.
- A weak rupee raised bullion rates, with the yellow metal priced at Rs.3,781 per gram on 21 August as investors put off purchases ahead of the Fed Reserve meeting.
- Interest in the metal fluctuated as recessionary fears and a rise in U.S. Treasury yields negated each other, though an increase in industrial demand resulted in prices rising to Rs.3,864 per gram on 25 August.
August 2019- Week 4 (26-31):
- The week began with gold rates in Chennai trading higher at Rs.3,904 per gram on 26 August before weak local demand and profit booking saw prices dip to Rs.3,876 per gram on 28 August.
- Fears over impending recession and an escalation in the trade dispute bolstered demand for bullion, which rose to Rs.3,913 per gram on 29 August despite a steady dollar rate.
- While retail demand was poor, industrial and jeweller demand kept prices from falling too steeply as gold ended the month at Rs.3,876 per gram to record a 11.34% rise in price.
Gold Rate Trend in Chennai for July 2019 (rates per gram of 24 karat gold)
|Parameters||Gold price (24 karat)|
|July 1 Rate||Rs.3,373 per gram|
|July 31 Rate||Rs.3,505 per gram|
|Highest Rate in July||Rs.3,537 per gram on 19 July|
|Lowest Rate in July||Rs.3,373 per gram on 2 July|
July 2019- Week 1 (1-7):
- Positive cues and a weak U.S. dollar rate bolstered gold rate in Chennai with the metal opening at Rs.3,373 per gram.
- Gold price in Chennai rose to Rs.3,443 per gram on 3 July despite a rise in equities, but a weak U.S. dollar kept bullion demand steady before gold dipped marginally to Rs.3,424 per gram on 4 July.
- After positive U.S. employment data figures, overseas demand was static but a rise in local jeweller offtake saw rates climb to Rs.3,445 per gram when the week ended.
July 2019- Week 2 (8-14):
- There was a steady rise in gold rate in Chennai after the metal opened unchanged at Rs.3,452 per gram on 8 July, as indications of the Federal Reserve taking a more dovish stance increased bullion offtake.
- Gold price in Chennai dropped briefly to Rs.3,432 per gram on 10 July before a dip in the dollar rate led to a rise in safe-haven bullion demand, with gold surging to Rs.3,493 per gram on 11 July.
- Positive U.S. consumer data resulted in demand falling as the yellow metal traded at Rs.3,463 per gram on 12 July but a late rally and economic growth concerns saw the metal rise to Rs.3,482 per gram on 14 July.
July 2019- Week 3 (15-21):
- After opening at Rs.3,468 per gram on 15 July, gold rate in Chennai rose marginally as renewed uncertainty over U.S.-Iran relations led to instability across equity markets.
- The precious metal rose to Rs.3,476 per gram on 16 July but fell to Rs.3,459 per gram on 18 July as investors put off bullion purchases before U.S. jobs data was released.
- Gold price in Chennai surged to Rs.3,537 per gram on 19 July as the dollar dropped on weak jobs data but falling retail demand saw prices dip to Rs.3,512 per gram on 21 July.
July 2019- Week 4 (22-28):
- Gold rates in Chennai opened at Rs.3,518 per gram but dropped to Rs.3,501 per gram on 24 July on a recovery by the U.S. dollar, though local demand kept prices from falling too steeply.
- Jeweller demand was static on stagnant overseas demand ahead of the Federal Reserve meeting, as the yellow metal traded at Rs.3,503 per gram on 25 July.
- Despite mounting tensions in the Middle East and a dovish monetary policy globally, bullion interest waned as prices closed the week at Rs.3,498 per gram.
July 2019- Week 5 (29-31):
- The upcoming U.S. Federal Reserve meeting led to subdued bullion offtake, with gold rates in Chennai opening the week at Rs.3,498 per gram on 29 July.
- Despite rising import costs, local demand was steady as investors flocked to the safe-haven metal, with prices inching higher to Rs.3,502 per gram on 30 July.
- The end of the month saw continued steady growth ahead of the Fed’s decision, with the yellow metal priced at Rs.3,505 per gram on 31 July.
Also Check Gold Price in Metro Cities
|Gold Rate Today In Bangalore||Today Gold Rate In Delhi||Today Gold Rate In Hyderabad|
|Today Gold Rate In Kolkata||Gold Rate Today In Mumbai||Gold Rate Today In India|
Gold Rate Trend in Chennai for June 2019 (rates per gram of 24 karat gold)
|Parameters||Gold price (24 karat)|
|June 1 Rate||Rs.3,233 per gram|
|June 30 Rate||Rs.3,415 per gram|
|Highest Rate in June||Rs.3,473 per gram on 25 June|
|Lowest Rate in June||Rs.3,233 per gram on 1 and 2 June|
June 2019- Week 1 (1-9):
- Apprehensions of further trade tariffs against Mexico boosted global bullion as gold rate in Chennai also opened at a steady Rs.2,233 per gram before climbing to Rs.3,234 per gram on 3 June.
- A weak U.S. dollar and a possible Fed Reserve interest rate cut further bolstered bullion demand overseas, as local demand followed suit with the precious metal trading at Rs.3,257 per gram on 5 June.
- Global trade war fears as well as renewed demand for safe-haven assets saw gold continue to enjoy a bullish run as gold price in Chennai rose to Rs.2,299 per gram when the week ended.
June 2019- Week 2 (10 - 16):
- At the start of week 2, gold price in Chennai stood at Rs.3,267 per gram. This was a sharp decline in the price from the end of week 1.
- As the dollar weakened on the 13th, the price of gold soared. The gold rate in Chennai stood at Rs.3,272 per gram.
- The US dollar surged during the end of week 2. This, however, did not deteriorate the price of gold in Chennai. The price continued to incline when it stood at Rs.3,305 per gram as the week ended.
June 2019- Week 3 (17-23):
- After opening the week at Rs.3,305 per gram gold price in Chennai briefly fell to Rs.3,301 per gram on 19 June as investors reduced bullion offtake ahead of the Fed meeting.
- Gold rate in Chennai surged to Rs.3,372 per gram on 20 June as global markets reacted to the Fed’s monetary easing policy, with local demand rising on a weak U.S. dollar rate.
- Heightening tensions with Iran unsettled U.S. markets and the dollar, as the precious metal rose to Rs.3,435 per gram on 21 June before settling at Rs.3,422 per gram on 23 June.
June 2019- Week 4 (24-30):
- Weak U.S. equities and a falling dollar rate saw gold rate in Chennai open at Rs.3,422 per gram before climbing to a monthly high of Rs.3,473 per gram on 25 June on positive cues.
- Demand slipped as jewellers and retail demand dropped due to rising costs, as the yellow metal traded at Rs.3,213 per gram on 27 June.
- With the Fed backtracking on reducing interest rates imminently, investors eased off bullion resulting in the metal rising marginally to Rs.3,415 per gram on 30 June.
Gold Rate Trend in Chennai for May 2019 (rates per gram of 24 karat gold)
|Parameters||Gold price (24 karat)|
|May 1 Rate||Rs.3,190 per gram|
|May 31 Rate||Rs.3,215 per gram|
|Highest Rate in May||Rs.3,215 per gram on 31 May|
|Lowest Rate in May||Rs.3,150 per gram on 3 May|
May 2019- Week 1 (1-5):
- Weak local demand was unable to maintain gold rate in Chennai as the metal opened the month at Rs.3,190 per gram.
- Gold price in Chennai dropped to Rs.3,150 per gram on 3 May as investors put off bullion offtake prior to the Federal Reserve meeting, with a lacklustre rupee dampening retail demand.
- A slight rise in prices was recorded with the precious metal trading at Rs.3,163 per gram on 4 May which carried on till the week ended on 5 May.
May 2019- Week 2 (6-12):
- A steady rise in investor interest and strong overseas cues saw gold rate in Chennai post gains after opening the week at Rs.3,171 per gram on 6 May.
- Local elections resulted in minor market fluctuations and increased local investor interest, as the yellow metal traded at Rs.3,184 per gram on 8 May.
- The imposition of trade tariffs on Chinese goods saw global equities plunge as investors switched to safe-haven investments like gold, which boosted prices to Rs.3,205 per gram when the week ended on 12 May.
- A steady rise in investor interest and strong overseas cues saw gold price in Chennai post gains after opening the week at Rs.3,171 per gram on 13 May.
- Local elections resulted in minor market fluctuations and increased local investor interest, as the yellow metal traded at Rs.3,184 per gram on 15 May.
- The imposition of trade tariffs on Chinese goods saw global equities plunge as investors switched to safe-haven investments like gold, which boosted prices to Rs.3,205 per gram when the week ended on 19 May.
May 2019- Week 4 (20-26):
- Consistently weak demand from local jewellers and steady equity demand saw gold rate in Chennai trade relatively low after opening at Rs.3,170 per gram on 20 May.
- Despite steady demand from local retail sales, declining investor interest and a weak rupee resulted in prices dropping to Rs.3,165 per gram on 22 May, falling further to Rs.3,156 per gram on 23 May.
- A slight recovery was recorded as the week ended, as further instability among global stock markets increased bullion offtake, as the gold price closed at Rs.3,183 per gram on 26 May.
May 2019- Week 5 (27-31):
- Despite steady local demand, gold rate in Chennai opened at Rs.3,186 per gram on 27 May as a stable U.S. dollar capped gains.
- Prices rose to Rs.3,188 per gram on 29 May as jeweller demand was steady, though industrial orders fell due to renewed uncertainty over economic growth due to ingoing Sino-U.S. trade saw the precious metal trade at Rs.3, 179 per gram on 30 May.
- Bullion fortunes reversed as the month ended, surging to Rs.3,215 per gram as investor interest in safe-haven assets rose due to recession fears.
Gold Rate Trend in Chennai for April 2019 (rates per gram of 24 karat gold)
|Parameters||Gold price (24 karat)|
|April 1 Rate||Rs.3,189 per gram|
|April 28 Rate||Rs.3,208 per gram|
|Highest Rate in April||Rs.3,208 per gram on 9, 27 and 28 April|
|Lowest Rate in April||Rs.3,161 per gram on 3 April|
April 2019 - Week 1 (1-7):
- Weak local demand due to the rising U.S. dollar rate as well as poor overseas offtake saw gold price in Chennai despite opening at a steady Rs.3,189 per gram.
- Progress in Sino-U.S. trade relations and a resurgent dollar saw bullion demand decline locally and overseas, as the yellow metal traded at Rs.3,161 per gram on 3 April.
- Mixed U.S. jobs and manufacturing data dampened bullion demand but a weak U.S. dollar helped gold prices recover to Rs.3.185 per gram as the week ended on 7 April.
April 2019 - Week 2 (8-14):
- Trade tensions between the U.S. and European Union bolstered gold rate in Chennai as the week began but a drop in overseas offtake resulted in the metal losing value later.
- After opening at Rs.3,198 per gram on 8 April, gold rose to Rs.3,208 per gram on 9 April on rising investor interest in the metal.
- Prices edged lower to Rs.3,206 per gram on 11 April on conflicting market cues before positive Chinese export data increased risk appetite, resulting in gold price dropping to Rs.3,183 per gram on 14 April.
April 2019 - Week 3 (15-21):
- A rebound in global economic fortunes resulted in gold price in Chennai dropping during the week after opening low at Rs.3,177 per gram on 15 April.
- A brief rise to Rs.3,178 per gram was recorded on 16 April before negative overseas trends and declining retail interest saw prices drop to Rs.3,168 per gram on 18 April.
- After plunging to Rs.3,162 per gram on 19 April following encouraging manufacturing figures from China, gold rates rose marginally as the dollar retreated to end the week at Rs.3,166 per gram on 21 April.
April 2019- Week 4 (22-28):
- Strong overseas cues due to increased fears over a possible global economic slowdown ramped up demand for bullion as gold rate in Chennai rose steadily after a weak opening of Rs.3,180 per gram on 22 April.
- Higher U.S. bond yields and a move to riskier assets diminished bullion appeal as the precious metal dropped to Rs.3,165 per gram on 24 April but lower-than-expected Chinese data plunged markets into uncertainty as gold surged to Rs.3,198 per gram on 26 April.
- A drop in the U.S. dollar rate boosted local demand for the metal and prices continued to climb, closing the week at Rs.3,208 per gram on 28 April.
Gold Rate Trend in Chennai for March 2019 (rates per gram of 24 karat gold)
|Parameters||Gold price (24 karat)|
|March 1 Rate||Rs.3,305 per gram|
|March 31 Rate||Rs.3,200 per gram|
|Highest Rate in March||Rs.3,305 per gram on 1 March|
|Lowest Rate in March||Rs.3,169 per gram on 29 March|
March 2019 - Week 1 (1-10):
- Lacklustre demand from overseas and a rising risk appetite among investors resulted in gold rate in Chennai falling after opening at a steady Rs.3,305 per gram.
- Stocks recovered as a possible U.S.-China trade deal bolstered the dollar, which dented gold’s safe-haven appeal, reflected in the price falling to Rs.3,234 per gram on 6 March.
- Positive growth figures from the U.S. further raised the dollar’s value as local demand fell heavily due to the rising cost of imports as gold prie in Chennai dropped to Rs.3,210 per gram on 7 March.
- A weak economic outlook due to European markets stagnating boosted gold price marginally as the metal closed the week at Rs.3,247 per gram on 10 March.
March 2019 - Week 2 (11-17):
- Weak demand from local retailers due to the rising dollar rate and conflicting cues resulted in gold rate in Chennai falling steadily after opening the week at Rs.3,233 per gram on 11 March.
- Positive U.S. retail data boosted the dollar rate as investors moved to riskier assets like equities and reduced interest in bullion as gold fell to Rs.3,213 per gram on 13 March.
- Gold price in Chennai dropped to a low of Rs.3,207 per gram on 15 March as the Brexit delay eased fears and bolstered markets, resulting in a drop in safe-haven bullion appeal.
- Gold recovered marginally as the week ended on global economic downturn fears, trading at Rs.3,212 per gram on 17 March.
March 2019 - Week 3 (18-24):
- Fluctuations in overseas demand and a slight slide in local offtake saw gold prices in Chennai open at a weak Rs.3,190 per gram on 18 March before climbing to Rs.3,209 per gram on 20 March as markets dropped on Brexit uncertainty.
- The U.S. dollar continued to remain steady despite weak equities, which capped gold gains as the metal dropped to Rs.3,191 per gram on 22 March as local industrial offtake was sluggish.
- The looming possibility of a no-deal Brexit resulted in global markets plunging as investors rushed to safe-haven assets like bullion as gold rose too Rs.3,236 per gram when the week ended on 24 March.
March 2019- Week 4 (25-31):
- Fluctuations in demand due to a volatile U.S. dollar as well as fears of a possible global recession impacted gold rates in Chennai after the metal opened at Rs.3,229 per gram on 25 March.
- A rebound in the dollar rate and a rise in investors’ risk appetite resulted in a drop in demand for the precious metal both locally and overseas as gold fell to Rs.3,217 per gram on 27 March.
- A strengthening U.S. dollar and positive economic data from China prompted a drop in local demand as gold fell to Rs.3,169 per gram on 29 March before a slight easing in the dollar rate boosted gold rates to Rs.3,200 per gram on 31 March.
Gold Rate Trend in Chennai for February 2019 (rates per gram of 24 karat gold)
|Parameters||Gold price (24 karat)|
|February 1 Rate||Rs.3,354 per gram|
|February 28 Rate||Rs.3,333per gram|
|Highest Rate in February||Rs.3,392 per gram on 20 and 21 February|
|Lowest Rate in February||Rs.3,292 per gram on 13 February|
February 2019 - Week 1 (1-10):
- There was a dip in gold rate in Chennai as overseas interest was on the decline though the metal opened the week at a stable Rs.3,354 per gram.
- Retail demand was steady but failed to keep prices from dipping as gold traded at Rs.3,340 per gram on 4 February on flagging interest from Asia.
- The recovering dollar saw a drop in overall demand as gold price in Chennai fell to Rs.3,316 per gram on 7 February before recovering towards the end of the week and closing at Rs.3,332 per gram on 10 February.
February 2019 - Week 2 (11-17):
- A decline in the rupee rate and poor overseas offtake impacted gold rate in Chennai during the week after opening at Rs.3,319 per gram on 11 February.
- Fluctuations in local demand due to the weak rupee saw gold price fall to Rs.3,292 per gram on 13 February as Asian demand continued to be flat due to repercussions from the trade dispute.
- Fears of another U.S. government shutdown rattled global markets and boosted demand for safe-haven bullion, as gold price in Chennai rose to Rs.3,350 per gram when the week ended on 17 February.
February 2019 - Week 3 (18-24):
- Demand for gold fluctuated as investors awaited the minutes of the Fed Reserve meeting though the metal traded at Rs.3,356 per gram on 18 February on steady local demand.
- Gold rate in Chennai rose to Rs.3,392 per gram on 20 February as a surge in local jeweller demand due to a low dollar boosted prices, though overseas orders were static.
- Indications of further rate hikes propped up the dollar and raised equity performance, resulting in investors staying away from bullion as gold price in Chennai fell to Rs.3,373 per gram on 22 February.
- A delay on Chinese tariff imposition by the U.S. saw the yuan rise as global interest in gold fell which was reflected in the price falling to Rs.3,360 per gram when the week ended on 24 February.
February 2019 - Week 4 (25-28):
- Despite stable demand from local retailers, gold rate in Chennai fell as the U.S. dollar recovered on ominous signals from the Federal Reserve after opening at Rs.3,355 per gram on 25 February.
- Gold Price in Cehnnai rose to Rs.3,357 per gram on 26 February as the dollar dropped on news of a possible resolution to the Sino-U.S. trade dispute.
- The Federal Reserve’s hawkish policy indicators boosted the markets and global currencies as bullion demand fell, resulting in gold trading at Rs.3,333 per gram on 28 February.
Gold Rate Trend in Chennai for January 2019 (rates per gram of 24 karat gold)
|Parameters||Gold price (24 karat)|
|Rate on 1st January 2019||Rs.3,172per gram|
|Rate on 31st January 2019||Rs.3,321per gram|
|Highest Rate in January 2019||Rs.3,326 per gram on 30 January|
|Lowest Rate in January 2019||Rs.3,172per gramon 1 and 7 January|
January 2019 - Week 1 (1 - 6):
- Demand for gold price rose marginally during the week, but fluctuating overseas trends and a drop in local jeweller demand led to static growth overall.
- The precious metal opened the year at Rs.3,172 per gram as the continued U.S. government shutdown had markets jittery and investors looking for stable investment options.
- Gold rate in Chennai rose to Rs.3,191 per gram on 3 January but prices dropped as the week ended, resulting in gold price closing at Rs.3,175 per gram.
January 2019 - Week 2 (7 - 13):
- Boosted by steady demand from local jewellers, gold price in Chennai were on the rise in the second week, opening trading at Rs.3,172 per gram on 7 January.
- The continued U.S. government shutdown and political standoff dented investor confidence in markets and increased interest in bullion, as gold rate in Chennai rose to Rs.3,229 per gram on 10 January.
- Gold price saw some fluctuations as a strengthening dollar capped gains, resulting in the week ending with gold priced at Rs.3,222 per gram on 13 January.
January 2019 - Week 3 (14 – 20):
- Steadily rising local demand and positive overseas cues boosted gold price in Chennai this week as the metal traded at Rs.3,230 per gram when markets opened on 14 January.
- As markets reeled from news of a likely hard Brexit, investors channelled funds into bullion in an effort to cut equity losses and this helped raise gold price to Rs.3,263 per gram on 17 January.
- Gold rate in Chennai dipped marginally towards the end of the week as the dollar rose and local demand stagnated, with gold trading at Rs.3,246 per gram on 20 January, recording a rise of Rs.16 during the week.
January 2019 - Week 4 (21-27):
- Though local retail demand remained steady, steep drops in overseas industrial demand affected gold price in Chennai this week after the metal traded at Rs.3,246 per gram on 21 January.
- A recovery in the dollar rate reduced gold’s value among investors as the metal fell to Rs.3,236 per gram on 22 January, with local demand unable to prop up prices.
- Equity markets reeled from the ongoing U.S. government shutdown and Brexit impacts and steadily boosted investor interest in gold as the metal closed at Rs.3,277 per gram on 27 January.
January 2019 - Week 5 (28-31):
- Demand for gold in Chennai rose during the week as retail sales were boosted by positive cues and a low dollar rate after opening at Rs.3,285 per gram on 28 January.
- Investors ramped up bullion demand as a hedge against unstable equity markets due to the ongoing uncertainty over another U.S. government shutdown as gold prices climbed to Rs.3,291 per gram on 29 January.
- Gold rate in Chennai were further boosted by increased jeweller demand as the metal traded at Rs.3,321 per gram when trading closed on 31 January to record a monthly increase of 4.69%.
Rates are commonly depicted for 24 karat and 22 karat gold of different weights e.g. 1 gram, 8 grams, 10 grams, 100 grams, 1 kilogram,1 sovreign etc.
- Gold price trends in Chennai over the last 3 years
- Gold price trends in Chennai 2015
Gold prices have risen and fallen in line with demand and pricing of the precious metal.
24 karat prices: Over the last 3 years i.e. 2012 - 2015, gold peaked at Rs.3,276/gram on 27th Nov. 2011. It saw a steady decline over the following years before dipping to a low of Rs.2,608/gram on 18th April 2013. After a choppy performance over the next few months, it reached a new low of Rs.2,544 on 28th June 2013. It subsequently rallied to Rs.3,255/gram on 26th Aug. 2013. Prices have been on a general decline since then. On 1st Dec.2014, prices declined to Rs.2,580/gram. Despite some recovery over the following months, rates have predominantly remained below the Rs.2,800/gram mark. As of 7th June 2015, the price stood at Rs.2,703/gram.
22 karat prices: They have generally mirrored the movement of 24K prices, rising and falling at the same time. The maximum price recorded over the last 3 years was on 27th Nov. 2012 at Rs.3,064/gram and the lowest price recorded was on 1st Dec. 2014 at Rs.2,372/ gram. 22 karat gold trades lower than 24 karat gold given that it is not as pure. It has recently been hovering between Rs.2,400/gram to Rs.2,600/gram and as of 7th June 2015, the price stood at Rs.2,521/gram.
24 karat prices: The highest recorded price for 2015 between the start of the year until June 7th 2015 stood at Rs.2,865/gram on 21st Jan. 2015 and the lowest price for the same period stood at Rs.2,619/gram on 18th Mar. 2015.
22 karat prices: The highest recorded price for 2015 between the start of the year until June 7th 2015 stood at Rs.2,678/gram on 21st Jan. 2015 and the lowest price for the same period stood at Rs.2,441/gram on 18th Mar. 2015.
Rates indicated are based on a number of factors and the best indication of prevalent prices for the given dates based on prevalent information.
Gold is often bought from reputed jewelers in Chennai. Some of the key players are Tanishq, GRT, Kirtilal Kalidas, Damini, Prince Jewellery, Mehta Jewellery, Khazana Jewellery etc. They offer a wide range of gold items including ornaments, gold coins and other customized gold pieces. All stores quote the latest gold rates and are a good source of information on how the gold market is performing as dealers and customers interact during their trades. Gold bars, biscuits and coins can be purchased from banks as well but they do not offer buy-back facilities. Jewelers or gold traders will, on the other hand, buy these items from retail buyers.
As with most gold purchases across India, gold is purchased to hedge against inflation. All metros across India, including Chennai, have seen a spike in the cost of living and this is only expected to go higher. Gold has traditionally been viewed as a form of investment which holds value even during times of uncertainty, mainly because gold almost always has good resale value and can be easily sold making it a very liquid asset. In fact, gold becomes more valuable during a crisis.
Inflation erodes a person’s savings. When inflation is accounted for in calculating total returns from an investment e.g. bank fixed deposits, the effective return of the investment is adversely affected. Also, when other forms of investment are expected to underperform, investors move their money into gold.
Jewelry: Although the most popular way of investing on gold, buyers often ignore the fact that making charges and wastage are deducted when estimating how much a particular piece of jewelry is worth. A retail buyer who wishes to sell jewelry at a later date may not receive the total current gold rate after allowing for such deductions.
Residents and visitors to Chennai are always keen to know about the various jewelry shops in and around the city. Many of the country’s leading jewelers have retail outlets here. Gold rates in Chennai are important for those indulging in gold shopping. This is especially true during auspicious occasions and marriages when gold is bought in large quantities.
Gold coins: A large portion of Chennai’s gold-buying population invests in gold coins; usually 24K gold coins. One of the reasons for this is because, 24K gold, being pure, can be converted to jewelry by alloying it with other base metals. Again, well-known, established jewelers in Chennai are sought out to buy these gold coins as they can be trusted when it comes to purity of coins. If a coin is not pure, the gold rate applicable at time of sale will be as per the coin’s fineness i.e. the actual amount of purity of the coin.
- Also Check:Gold Rate in Tamil Nadu
What is the current gold price trend in Chennai?
Gold trade in Chennai has had a pretty good run since the beginning of the year. With demand for the metal improving significantly in the domestic level, the bullion markets have witnessed a gradual increase in gold prices in the last few months. According to experts, with demand from jewelleries and industrial units expected to rise in the state, gold rates in Chennai are highly anticipated to edge higher further into the year.
How did the implementation of GST affect gold rate in Chennai?
Prior to GST, the previous government tax policy had imposed a 12.2% tax on the precious metal. Gold attracted an import duty of 10%, value-added tax (VAT) of 1.2% and customs duty of 1%. However, with the introduction of Goods and Services Tax (GST) on 01 July 2017, the GST council has eliminated VAT and excise duty and replaced it with GST, which shall remain unaltered for all states in the country. The implementation of GST was mainly aimed to address issues of transparency and bring about a new era of consistency in gold trading. As per the new GST law, gold is assessed at 13%, out of which 10% is the import duty and the remaining 3% is the goods and services tax (GST). However, in the retail sector, an additional 5% making charge will be added on top of the 10% import duty and 3% GST.
Different means of investing in gold in Chennai
Chennai, as one of the major developing cities in the country, offers investors with a wide range of opportunities to invest in gold. May it be investment-oriented entities or for large jewellery purchases, people have a lot of options to invest in the bullion. Consumers can choose from a range of assets such as jewellery, gold coins, gold bullions (ingots), and gold Exchange Traded Funds (ETFs).
Difference between KDM gold and Hallmark gold in Chennai
Before purchasing gold, it is vital for the consumer to understand the difference between KDM gold and hallmarked gold. In simple words, gold is categorised into KDM and hallmark based on the metal used for purity and alloying of gold. Gold in its purest form is a soft, ductile and malleable form. Hence, to obtain the jewellery form, gold is put in shape by soldering with another metal with a melting point lower than that of gold such that only the solder metal melts and combines the pieces of gold. Initially, cadmium was used as the solder metal due to its low melting point and liquidity. Mixing cadmium and gold in the ratio of 8% and 92% respectively resulted in the solder retaining up to 92% purity level. However, the use of cadmium as a solder was banned by the Bureau of Indian Standard (BIS) after it resulted in severe health problems like skin allergies to goldsmiths and artisans. Now, cadmium has been replaced by other metals such as zinc or copper, which has, in turn, resulted in minimal health risks in the industry.
Hallmark, on the other hand, is the certification of quality awarded to the gold by the Bureau of Indian Standards (BIS). BIS assesses whether the gold meets and complies with the national as well as international fineness and purity standards. A hallmark gold is engraved with features including the BIS logo, purity level, logo of the assaying centre, year of certification and the logo of the retailer. Hence, it is advised to always purchase BIS certified hallmarked gold.
Factors affecting Gold Prices in Chennai
The bullion trade in Chennai involves a variety of factors which influences the prices slapped on the precious metal. Here’s a list of factors that affect gold prices in Chennai:
- The currency exchange between the US dollar and the Indian rupee India, being the world’s second-largest importer of gold, mostly trades in US dollar for the bullion. With gold being a dollar-dependant asset, whenever the US dollar strengthens against the rupee, gold rates in Chennai surge. This is due to the excess import charges that are to be paid by the traders which in turn, flows down to the next subsequent level of gold trading. Similarly, if the US dollar loses against the rupee, gold prices tend to comparatively go low in the domestic market.
- Bullion associations In Chennai, gold prices are fixed twice in a day. The price of gold when trading commences for the day is called the opening price and the rate at which gold trading concludes for the day is called the closing price. Most of the jewellers in the city are members of an association and those associations are one who fixes the prices for gold. In Chennai, most jewellers are affiliated to the Madras Jewellers and Diamonds Association. The association notifies their members on gold rates at least twice a day. Hence, investors who plan on purchasing gold in Chennai must check the prices before buying. Ensure that you also inquire about the quality and request for the receipt.
- Logistics Another important factor that gold rates depend on are the logistics. In short, it is the logistics sectors that determine the time gold takes after being imported to reach the hands of the consumers. Gold, being a precious asset and of high monetary value, is obligated to a high level of safeguarding. In other words, gold rates are also expected to increase or decrease depending on the level of crisis in the city. The harder it is to bring in gold to a city, the higher the costs are likely to be.
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Things to remember before investing in gold in Chennai
It is important to know every aspect of your investment before making the purchase. So, this section is solely aimed at helping you get a better idea of all the things you need know before investing in the precious metal.
- Purity of gold: The purity of gold is measured in karats and are classified into various levels based on the amount of gold content to other alloys or impurities in the jewellery. Some of the most common gold considering the purity levels are 14 karat (58.33% pure ), 18 karat (75% pure), 22 karat (92% pure) and 24 karat(99.9% and above) gold. Despite 24 karat gold being the purest form, commercial use of the metal is restricted in the jewellery sector due to its high malleability and ductility factor that limits its level of customizability to jewellers. However, 24 karat gold costs more than any other form of gold and checking the purity before investing your hard-earned money is advised. The hallmark of the gold indicates its level of purity. Ensure that you always purchase hallmarked jewellery.
- Labour charges: A labour charge is basically the making charge involved in creating a specific jewellery by the jeweller. The maker charges an amount on the jewellery depending on the complexity and detailing required for the design. Since, labour charges are influenced by the current gold rates, requesting for a fixed making charge is advisable as it could bring down the cost of investment.
- Certification: The sole aim of certification is to make sure that the customer isn’t overcharged or deceived by the jeweller. The Bureau of Indian Standards (BIS) certifies and authenticates the gold based on its level of purity. The smarter way to go about the purchase for the customer is to check the certification of gold before buying it.
- Weight: Gold jewellery in India is mostly sold based on its weight. The addition of precious gems such as diamonds makes the jewellery or ornament heavier during the process. The prices of the precious stones will also be included in the price of the jewellery. Hence, it is necessary to keep this in mind while buying jewels that are studded as one might be paying his/her hard-earned money for the gold which isn’t there.
- Time of purchase: One might believe that the gold costs the same irrespective of the time of purchase. However, prices tend to go up or down with respect to consumer demand. Demand is most likely to be high during festive seasons as people are expected to spend more compared to the off season. Keep track of the gold rates during purchases and be on a lookout for offers put up by reputed jewellers to save yourselves some extra money for other investments.
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