The price of gold is still sky high today. The price of 24 carat gold was above 78 thousand in all the big cities on Friday. gold comes down a bit for a few days and then goes up again. Although global trends also play a big role in the ups and downs of gold prices, but if we talk about gold value instead of gold price in india, then it is largely decided by culture instead of the market. In india, gold is a symbol of wealth and security as a cultural asset. Even if we consider it from the investment point of view, these are the priorities regarding gold. For this reason, the trend of gold rate in india is also decided on the basis of global conditions, currency fluctuations as well as domestic demand.
gold prices increase during the wedding season
Despite the globalization process starting 35 years ago in india, even today the cultural factor dominates the price of gold more than the global factor. Due to this, the price of gold increases during the wedding season, Akshaya Tritiya, Dhanteras, diwali etc. Because the demand is very high at that time, the rates start increasing automatically. Apart from this, the demand for gold for investment is also as a security symbol to get relief from the fluctuations of the stock market.
Geo-political factor also plays a big role behind the gold rate trend
Geo-political factor also plays a big role behind the gold rate trend. Wars happening in different places, political instability, recession in a particular country play a role as a big factor behind the increase in gold rates in the world. The monetary policy of different countries of the world, especially the Fed Reserve of the US, also plays a role in this. This also affects the gold price in India. gold is traditionally seen as a hedge in the financial world. As the demand increases, its price also increases.
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