Gold rises again after Diwali, MCX 24-carat at Rs 1,43,771 per 10 grams

Gold prices have been fluctuating continuously for the past few days. Gold fell during the Muhurat trading session held after Diwali, but it again showed a sharp gain when the market opened on Monday, the day after Diwali. Big swings in prices are expected today as well.

On the Multi Commodity Exchange (MCX), the futures price of 24-carat gold rose 0.86 per cent. It gained Rs 1,219 to reach Rs 1,43,771 per 10 grams. In the previous session it had closed at Rs 1,44,260 per 10 grams. In the bullion market, 24-carat gold has reached Rs 1,44,320 per 10 grams, while in the international market gold was recorded at $4,134.20 per ounce.

In the sarafa (bullion and jewellery) market, 24-carat gold rose by Rs 600 to Rs 1,46,900 per 10 grams. This price includes all taxes and making charges. According to another set of figures, 24-carat gold is at Rs 1,44,750, 22-carat at Rs 1,32,700 and 18-carat at Rs 1,08,600 per 10 grams.

Looking at morning rates, 24-carat gold was at Rs 144,370 per 10 grams. The price of 22-carat was Rs 132,339, of 18-carat Rs 108,278 and of 14-carat Rs 84,216 per 10 grams.

Across cities, today's price of 24-carat gold is Rs 144,600 per 10 grams. The same price is quoted in Mumbai, Pune, Nashik, Nagpur, Kolhapur, Sangli, Jalgaon and Chh. Sambhajinagar.

According to traders, buying gold and silver on Dhanteras is considered highly auspicious, but this time the high price of gold has dampened customers' enthusiasm somewhat. Several jewellers in Delhi say sales this year have not risen much compared with last year. Because of record-high gold prices and the fear of further fluctuation, customers appear very cautious about buying. For this reason, many buyers are preferring lightweight jewellery to heavy pieces.

According to World Gold Council data, demand for gold jewellery in India in the September quarter fell 20 per cent year on year by volume. By value, however, it rose 16 per cent.

Shravan Goyal, executive vice-president of UTI AMC, says gold is a very important means of preserving the value of investments and diversifying a portfolio. He also said silver could benefit from growing investment in industrial sectors such as solar energy and electric vehicles. Experts also say that, compared with gold, silver carries a greater risk of high price levels and volatility.