For centuries, demand for gold has remained stably high. People in India and across the globe invest in gold to protect their finances from economic instability. Moreover, we often buy gold as a present or an ornament in the form of jewelry.

Whether an investment or a beautiful accessory, gold in Chennai can be sold at various places where prices and quality differ. It is very important to know the current gold rate in Chennai, and compare it with the typical price of gold, if you plan to purchase a gold bar, bullion, coin, or jewelry.

This tool shows you the gold rate in Chennai today, constantly updating the price per gram of 24k gold and 22k gold so that you can estimate the fair price of gold jewelry or pure gold as a precious metal in Chennai. In addition, you can analyze Chennai gold rate trends and see if the gold price is falling or, contrary, on the rise. This is useful for understanding demand whether you try to sell or buy gold in Chennai.

Disclaimer: Please note that the given gold rates are indicative. They do not include GST, TCS and other taxes that may be incurred by your individual purchase. The exact price depends on your local jeweller or seller. The information contained herein shall not be deemed to be investment advice. Always consult your registered adviser to assist with your investments.

Why Would You Want To Buy Gold?

Since ancient times, gold has been a symbol of wealth. Money changed its form multiple times, from metal coins to plastic cards and digital means. However, gold never lost its value. In Indian households, gilded home accessories or furniture have been a sign of fortune and affluence. The country’s population in general is fond of gold. It is an integral part of their daily lives, traditions and especially celebrations.

No luxury brand can do without stylish gold jewelry. Buying gold jewelry as a present is popular for different festive occasions: birthdays, weddings, anniversaries, baby births, and more. Both women and men wear golden rings, bracelets, earrings, necklaces and pendants. Accessories made of this precious metal fit every style and look. Even if the form is not trendy anymore, you can often exchange your old jewelry for a new one.

At many jewelry stores, customers can bring their old gold for exchange. Shop assistants will measure the purity of gold and weight of your golden piece with a special device – karatmeter. Depending on the karat of gold, the seller will offer a price of 1 gram of gold based on this particular carat gold rate in Chennai. Using this exchange rate, you can easily upgrade your set of accessories.

In addition, many people prefer to buy gold rather than invest in stocks or make fiat/crypto deposits. Market trading may be profitable but it’s also risky. Companies become bankrupt and currencies fluctuate. On the other hand, the gold trade is never out of fashion. It is very suitable for long-term investment and the transfer of family wealth to the next generations. Historical gold prices show that the value of this precious metal quadrupled over the last 100 years.

It is no wonder that not only individuals but national governments also use gold as a store of value. For instance, India has its own reserve of sovereign gold bonds. These are government securities denominated in grams of gold. Instead of holding physical gold, investors pay the issue price in cash. Sovereign gold bonds (SGBs) are issued by RBI on behalf of the Government of India, making it a secure investment option. Besides, they have an additional interest of 2.5%, without any capital gains tax.

What Influences Gold Rate in Different Cities

To begin with, gold price as a price of any commodity depends on many factors. These include supply and demand balance, geopolitical events, speculative trading practices, and government policies. In addition, gold price today is impacted by taxes that incur at many levels: state taxes, local city/region taxes, and transportation taxes.

When forming the ultimate price, sellers take into account all additional costs connected with jewelry production or gold storage, for instance. Moreover, 22 carat gold price in Chennai, as well as other cities, would depend on the price of other precious metals, as this type of gold is not 100% pure.

The Difference Between 24 Carat Gold and 22 Carat

Typically, the 24 carat gold price is higher than 22k. It often makes people wonder what the difference is. The answer is simple. It depends on the purity of gold.

This way, 24 karat is considered the finest gold being 99.9% pure. In contrast, gold being 92% pure is classified as 22 carat gold. The rest 8% of the golden item may consist of other metals such as copper, silver, zinc, nickel, etc.

At the same time, higher purity is not necessarily the best option you need. Different karats of gold serve different purposes.

For example, gold in its purest form is brilliant in colour but not very durable and scratches easily. Therefore, it is often seen in bullion and bars but rarely used for jewellery. Today, 24 carat gold is often used in making gold bars, coins, electronic devices, and medical equipment.

Such pure gold is perfect for medical instruments with connector pins and electrical contact switches since it has excellent electric conductivity. Besides, it’s bio-compatible and doesn’t cause adverse reactions in contact with the human body.

On the contrary, when you’re purchasing gold jewellery, you will most likely see a 22k probe. This happens because mixing alloys hardens the texture of gold. Hence, ornaments and accessories become more durable and less prone to scratching or dents.

What About 18 Karat Gold and 14K?

If you’re looking to buy gold, you may also come across the 18 karat gold or even 14K gold. The lesser the purity, the lower may the price be. Thus, 18k is 75% pure and 14k – 58% pure gold. These types are comparatively more durable and less expensive than the above gold types.

18K gold has pure gold mixed with other metals which can add colour to it. Originally, pure gold is bright yellow closer to orange, but adding nickel, silver, copper, zinc and palladium can make the colour of the gold jewelry white or rose.

14K gold is a mixture consisting primarily of gold, blended with durable metals such as zinc, nickel and copper along with a rhodium plating.

Both these types are used for the majority of engagement rings, eternity bands, pendants, earrings and other fine jewelry pieces. Since 14k gold is more durable than 18K, it’s more suitable for an active lifestyle. Besides, less gold in the mixture makes it more affordable.

How to Find the Best Gold Rate in Chennai?

Today Oct 22, 2024 gold rate in Chennai is defined by various subjective factors, such as the brand’s or seller’s reputation, trustworthiness and popularity, along with local demand for different types of gold.

Gold in India is unevenly popular across regions. Some poorer remote rural areas will have less demand for gold and other luxuries. Even if bought, such regions will seek more affordable gold jewelry with less karatage. Meanwhile, gold in the city is more popular and expensive.

Gold price in Chennai always differs from other regions in India, not only because of different taxes but also because the city has one of the highest numbers of gold consumers in the country. The city is famous for its bridal jewellery collections, so today 22 carat gold in the form of jewelry is very popular in Chennai.

High demand for gold makes gold price in Chennai more competitive. However, it also largely depends on the seller.

Choosing the Gold Seller

It should be noted that reputation is critical in the gold market. You must make sure that the jewelry or gold coins you want to buy are 100% authentic. Unfair sellers or suppliers may offer counterfeit jewelry or imitation jewelry advertised as fine pieces.

At the same time, there are large jewelry chains and individual sellers. The latter may offer lower prices but fewer guarantees. Well-known brands typically bear responsibility for high gold quality but the price may be higher.

Finding the right balance is difficult. To be better aware of the gold item’s estimated price, you should keep track of today’s gold rate in Chennai. Knowing the average gold rate today, you can thoroughly compare gold prices at different vendors. This can be done automatically at many online portals or manually.

Too low a price should be a red flag, as the golden item can’t be cheaper than its intrinsic value. However, a big gap between the average rates of gold in Chennai and the too high actual price is also a warning. The item can be overpriced due to the brand name or unjustified seller’s operation cost. Try to stick to the golden middle.

Once you have found the best market option in terms of pricing, you should check the gold quality. The karatage and quality of the gold jewelry is ensured by hallmarks. It is a common standard in gold jewellery manufacturing and a guarantee for the customer.

Gold Investment in Chennai

We have spoken enough about jewelry as a form of gold. However, investors often consider buying bullions or gold coins, as well as gold-related financial products, e.g. gold futures or gold exchange-traded funds (ETFs).

Bullion

Bullion is one of the simplest and most popular ways to invest in gold in Chennai. Bullions can be either gold or silver, sold in bulk before coining. They are most often shaped in bars or ingots and frequently used by governments and central banks as reserve assets.

Bullions are valued by their weight. They are made of the purest gold. Therefore, to understand the fair price of a bullion, you must know 24 carat gold rate. For silver bullion, you need to refer to the local silver rate.

Investors can buy or sell bullion through dealers on several global bullion markets. However, one must know certain rules when importing gold to Chennai. At present, the maximum limit of bringing gold to Chennai is Rs 50,000 for males carrying gold and Rs. 100,000 for female tourists or residents entering Chennai. If you import more, additional duties incur.

To not deal with physical gold, many people prefer investing via exchange-traded funds (ETFs) or futures contracts.

Gold ETFs

Gold ETFs are exchange-traded funds that give investors exposure to gold without having to directly purchase, store and resell the precious metal themselves. They are units representing physical gold in paper or dematerialised form. One Gold ETF unit is equal to 1 gram of gold. ETF investment is backed by physical gold of very high purity.

These investment products track the spot gold price closely. However, an investor must be aware of today’s gold price in Chennai to understand what part of the price belongs to the ETF management fees, insurance premiums, and storage costs.

Gold ETFs are listed and traded on the National Stock Exchange of India (NSE) and Bombay Stock Exchange Ltd. (BSE) just like corporate stocks. Gold can be bought and sold continuously in the form of ETF through a dematerialised account (Demat) at market prices.

When you redeem Gold ETF, you don’t get physical gold, but receive the cash equivalent. That is why you must check a gold rate calculator to know the rate per gram of gold at the time you redeem. If it is not favourable, perhaps, you can redeem your investment at a time when the price of gold in Chennai better suits your needs.

Gold Futures

Gold futures are standardized exchange-traded contracts where the buyer and seller agree to trade a specific amount of gold at a predetermined price on a future date.

That means that buyers don’t pay the total price right away. The actual settlement happens on the gold futures expiring date. A typical delivery date is usually up to 3 months ahead.

Such flexibility in payment terms is attractive to many investors. However, one should be aware that gold futures can be volatile. There is always a chance for markets to crash or go through a phase of instability at some point in the future.

If you conduct a gold rate comparison, you will see that the gold rate in Chennai for last three months has changed many times. The same volatility affects the gold futures market.

These financial instruments are not ideally suited for beginning investors. To avail of this offer, traders need a margin brokerage account which allows trading in futures and options. Consult your financial advisor before investing in gold futures.

FAQs on Gold Rate in Chennai

• Why gold rate today in Chennai differs from the gold price today in other cities?

– The gold price per gram in Chennai as well as other cities is volatile. It depends on gold imports because India does not produce its own gold. As gold travels through the country, it incurs many different taxes. Port cities may have lower cost of gold because the transport expenses are minimal. At the same time, today’s gold rate depends on the changing demand for gold in Chennai. The amount of gold purchased in the city may alter in different seasons or different economic conditions. Besides, as an imported commodity, gold heavily depends on the US dollar performance and FX course.

Although the Indian Bullion Jewellers Association (IBJA) plays a key role in determining day-to-day gold rates in the country, the exact local gold price will still depend on the gold association in the respective state.

• Why there are different prices for 24 karat and 22 karat gold?

– There are different types of gold, depending on its purity. The purest gold is 24K, all other gold types have a lower percentage of gold included. That is why 22 carat gold rate or 18K gold rate is usually different than 24k. For instance, today 10 grams of 24 carat gold is Rs 60,000, but 10 grams of 22 carat gold costs Rs 55,300. The price of 22 carat is lower because it’s 92% pure, while 24k is 99,9% pure. However, if you’re going to buy gold jewellery and ornaments, 22k gold is standard. It is more durable.

• Where can I find the live price of 22 and 24 Chennai gold?

There are many online portals that update gold rates every day. Our website?www.dgmis.org?is one of the best resources where you can constantly check the price of 22 and 24-carat gold in real-time. If you continuously track the changing rates of gold in Chennai city, you may spot an opportunity when the gold rate hits a significant low, and purchase gold on the exact same day with great savings. On the contrary, when you want to sell old gold items, you will check today’s gold rate and look for the surge.

• Where can I buy or sell gold in Chennai?

– There are a lot of places which sell gold in India. Depending on the type of gold to buy, you may look for a bullion dealer or a jewellery shop. The main thing is that the items sold should be legitimate and authentic. The origin and quality of gold is proven by a hallmark. It can be found on the inside of the ornament (e.g. ring) and is laser-engraved. The gold hallmark should have such details: BIS logo, retailer’s logo, purity (916, 875 etc.), year of certification, assaying centre’s logo.

• How can I invest in gold in Chennai?

– Gold is considered a good, profitable and stable long-term investment. You can buy pure gold in bullion, bars or coins. If you don’t want to store physical gold, you can also look at gold ETFs or gold futures. Be careful and consult your financial advisor to get a better understanding of how gold investment instruments work. Also, don’t forget to check the gold rate in Chennai before buying any type of gold or gold-tracking product to know whether the management fees or making fees are fair.