Gold to touch lakh in coming days, crosses Rs 99,000 again

THIRUVANANTHAPURAM: A major increase was witnessed in the price of gold today. The price per sovereign is Rs 99,200 after an increase of Rs 800 and Rs 12,400 per gram after a rise of Rs 100. This is the second time this month that the price of a sovereign of gold has crossed Rs 99,000 mark. On December 15, the price of a sovereign of gold was Rs 99,280 and Rs 12,410 per gram. It is the highest gold rate so far this month.

There has been no change in the price of gold for the last two days. The price of a sovereign of gold yesterday was Rs 98,400 and Rs 12,300 per gram. The lowest gold rate this month was recorded on December 9. It was Rs 94,920 per sovereign then and Rs 11,865 per gram. Economists estimate that the price of gold will cross a lakh mark by the end of this month.

Meantime, experts point that due to high prices, consumers are switching to 18-carat jewelry instead of 22-carat. The market is relieved by purchases for wedding purposes. 14-carat jewelry is currently in trend for gifting. Although the depreciation of the rupee is making gold more popular among Indian consumers, it is creating a crisis for jewelers in accumulating stocks.

Still economists find that there is optimism in the market in the long term. The organized jewelry market, which was worth Rs 1,752 billion in 2023, is expected to grow to Rs 5,079 billion by 2029. This will be boosted by mandatory hallmarking and the proliferation of branded showrooms.