Today Gold Rate in Kerala

Today Gold Rate in Kerala – An Overview

Gold has always been considered a valuable asset in Kerala and worldwide. Its value has stood the test of time, making it a preferred investment option for people across all age groups.

With fluctuations in the stock market and the unpredictable nature of other investment options, gold has proven to be a stable and reliable investment over the years. Keeping track of the gold rate in Kerala can help you make informed investment decisions, whether you’re looking to buy or sell gold.

Various Types of Purity Measurement of Gold

In India, gold is considered a precious metal and is highly valued. There are several purity measurements for gold, and they are as follows- 

• Karat System: The karat system is the most common method used in India to measure the purity of gold. It measures the purity of gold in terms of karats. 24-karat gold is considered pure gold, meaning it is 99.9% pure. 22-karat gold is 91.67% pure, 18-karat gold is 75% pure, and so on.
• Fineness Number System: This system measures the purity of gold in terms of fineness numbers. A fineness number of 999 indicates pure gold. For example, 22-karat gold has a fineness of 916.67.
• Millesimal Fineness System: This system measures the purity of gold in terms of millesimal fineness. It expresses the purity of the gold as a proportion of 1000 parts. For example, 24-karat gold has a millesimal fineness of 999, while 22-karat gold has a millesimal fineness of 916.67.
• Assay System: The assay system is a chemical test that determines the purity of gold. Government-certified assayers use this system to determine the purity of gold accurately.

How Can You Make Gold as an Investment in Kerala?

There are several ways to make gold investments in Kerala. Here are some of the common methods –

• Gold jewellery: One of the most traditional ways of investing in gold in Kerala is to purchase gold jewellery. It is a popular choice among Keralites as gold symbolises wealth, and gold jewellery is often worn during festivals and special occasions.
• Gold coins and bars: Investing in gold coins and bars is another option for those looking to invest in physical gold. These can be purchased from a certified gold dealer, and the weight and purity of the gold should be verified before purchase.
• Gold ETFs: Gold Exchange Traded Funds (ETFs) are a popular investment option for those who want to invest in gold without owning physical gold. Gold ETFs are traded on the stock exchange, and their prices are linked to the price of gold.
• Gold mutual funds: Gold mutual funds invest in stocks of gold mining companies, and their returns are linked to the price of gold. This is a good option for those who want to invest in gold but do not want to invest directly in physical gold.
• Sovereign Gold Bonds: The Government of India issues Sovereign Gold Bonds periodically, which can be purchased through designated banks or financial institutions. These bonds are linked to the price of gold and offer a fixed interest rate, making them a good option for long-term investment in gold.

Things to Know Before Buying Gold Jewelry in Kerala

• Purity: The purity of gold is measured in karats, and it is vital to ensure that the gold jewellery you are purchasing is of the correct purity. In Kerala, 22-karat gold is the most commonly used for jewellery.
• BIS hallmark: Look for the Bureau of Indian Standards (BIS) hallmark on the gold jewellery you are purchasing. The hallmark ensures that the gold jewellery is of the correct purity and quality.
• Making charges: Making charges are the fees the jeweller charges for making gold jewellery. It is essential to understand the making charges before making a purchase.
• Weight: The weight of gold jewellery affects the price, so it is crucial to verify the weight of the jewellery before making a purchase.
• Certification: Ensure that the jeweller certifies the purity of the gold jewellery.

Factors Affecting Today’s Gold Price in Kerala

Factors affecting the gold rates today in Kerala are explained below:

• International gold prices: The price of gold in Kerala is affected by global gold prices. If international gold prices increase, the price of gold in Kerala also increases.
• Demand and supply: The demand and supply of gold in Kerala also affect gold prices. If the demand for gold is high and the supply is low, gold prices increase.
• Exchange rates: The exchange rates also affect the gold prices in Kerala. If the Indian rupee weakens against the US dollar, the gold prices in Kerala will increase.
• Taxes and duties: The taxes and duties levied on gold by the government also affect the gold prices in Kerala.
• Economic and political conditions: The economic and political conditions of the country also affect the gold prices in Kerala. If the economic or political conditions are unstable, gold prices tend to increase as gold is considered a safe-haven investment.

What is the Difference between KDM and Hallmarked Gold in Kerala?

The table below shows the differences between KDM and hallmarked gold in Kerala:

Factors	KDM Gold	Hallmarked Gold
Purity	Lower	Higher
Composition	Gold alloyed with other metals, such as cadmium or zinc	Pure gold or gold alloyed with other metals like silver, copper, or platinum
Certification	No hallmark certification	Certified by the Bureau of Indian Standards (BIS) with a hallmark stamp indicating purity and authenticity
Price	Less expensive	More expensive
Health risks	Cadmium in KDM gold is a toxic metal and can pose health risks	Hallmarked gold is considered safe for use in jewellery

Impact of GST on Gold Rate in Kerala

The Goods and Services Tax (GST) was introduced in India in 2017. It has impacted the price of gold in Kerala. Under GST, the tax rate on gold was set at 3%, which is higher than the previous tax rate of 1.5%. This led to an initial increase in the price of gold in Kerala. However, over time, the price of gold has stabilised, and the impact of GST on gold prices in Kerala has become less significant.

How Can Interest Rates Affect Gold Prices in Kerala?

Interest rates can significantly impact the price of gold in Kerala. Here are a few ways interest rates can affect gold prices-

• Opportunity cost: When interest rates are high, investors may choose to invest in other assets, such as bonds or savings accounts, which offer a higher rate of return. This can reduce the demand for gold and cause its price to decrease.
• Inflation: Interest rates and inflation are closely linked. When inflation is high, interest rates tend to increase, which can also cause the price of gold to rise. This is because gold is often seen as a hedge against inflation.
• Currency exchange rates: Interest rates can also affect currency exchange rates, which can, in turn, affect the price of gold. If interest rates in one country are higher than in another, investors may choose to invest in that country’s currency, which can cause its value to increase. This can, in turn, affect the price of gold in that country.

Latest News on Gold Rate in Kerala

[18 April 2023] – The incline in Gold Rates Today in Kerala

1 gram of 22K gold in Kerala is at INR 5,585, while 8 grams of 22K gold is INR 44,860, and 10 grams of 22K gold is priced at INR 55,850. 1 gram of 24K gold in Kerala is priced at INR 6,092, while 8 grams of 24K is at INR 48,736. 19 grams of 24K gold is priced at INR 60,290. The highest rate per gram of gold in April till now has been INR 5,906. The lowest rate per gram of gold has been INR 5,744. A steady incline in gold rates today in Kerala has been seen.