Gold Rate Today in Dewas

Located on the Malwa Plateau, Dewas is one of the oldest cities in Madhya Pradesh. It is famous for the Government Bank Note Press, where the currency is printed. A former capital of two princely states during British rule, Dewas is an industrial city. It houses several companies, including Tata, Kirloskar, and John Deere. Notably, Dewas is located around 535m above sea level, which makes the region ideal for harvesting wind energy using windmills. 

Like other cities in India, Dewas witnessed an increase in demand for gold during the festive season and on special occasions. Gold rates fluctuate significantly due to a variety of reasons, such as global gold prices, government gold reserves, changing government policies, inflation, demand, and currency conversion adjustments. Despite the varying reasons and fluctuating gold rates, the demand for gold has remained high in Dewas even though other investment options are available, such as gold mutual funds.

Let's see the current gold rate in Dewas and a few factors to keep in mind when buying gold.

Factors Affecting Gold Rates in Dewas

US Dollar Strength

Gold is exchanged for US dollars on global markets. In the process of import, USD is converted to INR. So, any changes in the USD or INR exchange rate may impact the cost of importing gold and, consequently, the cost of selling it in Dewas.

Cost of Imports

Import rates influence the price of gold because a significant amount of India's gold needs are fulfilled through importing gold in its natural form. Higher import rates could mean a higher gold price and vice-versa. 

Economic Factors

Gold's demand and price rise as a result of investors' perceptions that it is a safe haven during times of political unrest or geopolitical unrest. The demand for gold tends to increase during such crises, making it a crisis commodity for parking funds. In contrast, other asset classes would typically see a decline in their value during such situations.

Gold Reserves

The Reserve Bank of India (RBI) and most Central banks of nations hold currency and gold reserves. The gold prices witness a hike or drop according to the price and quantity of gold that the government trades in.

Inflation

During inflation, there is an increase in the cost of goods and services. Inflation tends to devalue the currency as it decreases the buying power of money. However, the value of gold rises when the cost of living increases. Hence, people buy gold as a protection against inflation.

Investment Options for Gold in Dewas

If you want to buy gold in Dewas, besides jewellery and other forms of physical gold, consider investing in gold mutual funds, gold ETFs, and sovereign gold bonds as well. 

1. Sovereign Gold Bonds: Gold bonds are government securities that are denominated as grams of gold. The Reserve Bank of India (RBI) issues these gold bonds on behalf of the Government of India. An investor pays the issue price in cash and redeems the gold bonds in cash on maturity. 
2. Gold Exchange-Traded Funds (ETFs): A gold ETF is an open-ended mutual fund scheme that tracks the changing cost of gold. One gold ETF represents one gram of gold of high purity. Like any other company stock, ETFs trade on the National Stock Exchange's cash market and can be bought and sold continuously.
3. Gold Mutual Funds: Gold mutual funds are open-ended funds regulated by the Stocks Exchange Board of India (SEBI). They are used to invest in the units of a gold ETF. Investments are typically made in the stocks of mining companies, physical gold, and syndicates that produce and distribute gold.
4. Gold Saving Schemes: Many jewellery stores start gold-saving initiatives. Gold can be reserved at a specific price, and monthly deposits can be made to the jeweller. You can use your investment to buy gold jewellery or gold coins once you have enough money in your account.

Know More About 916 Hallmarked Gold in Dewas

916 gold, also known as 22 karat gold, is a type of gold that is 91.6% pure gold and 8.4% other metals, typically copper, silver, or zinc. The 916 hallmark is a mark of purity that is stamped on gold jewelry to indicate that it is made of 91.6% pure gold. The term "hallmarked gold" refers to gold that has been certified as pure by an independent organization, such as a government assay office or a private laboratory.

In India, the Bureau of Indian Standards (BIS) is the organization responsible for hallmarking gold jewelry. The BIS operates a system of hallmarking centers throughout the country, including one in Dewas, Madhya Pradesh. To be eligible for hallmarking, gold jewelry must be made of at least 14 karats (58.5% pure gold) and must be tested for purity and fineness at a BIS-approved laboratory.

Hallmarked gold is considered to be of higher quality and more valuable than non-hallmarked gold, as it has been certified as pure by an independent organization. Gold jewelry that is not hallmarked may not be made of pure gold or may not meet the standards for purity and fineness set by the BIS.

If you are considering purchasing 916 hallmarked gold jewelry in Dewas or anywhere else in India, it is important to ensure that it has been properly certified by the BIS or another recognized organization. Look for the 916 hallmark or other marks of purity on the jewelry, and ask the seller for documentation to verify its authenticity.

How is the Purity of Gold Evaluated in Dewas?

Gold is weighed in grams or troy ounces, and its purity is represented in karat. In simple words, the karat system is a 24-point scale signifying the percentage of gold that is in it. So, if you buy a 14K gold pendant, it is 14 out of 24 parts gold, or 58.33 % gold. Remember, 24K gold, which is the purest and the most expensive, is very soft and easily malleable. This makes it unsuitable for everyday wear since it can be easily bent or damaged. 

Hence, gold is mixed with other metals and alloys, such as copper and silver, to make it durable. 24K gold is 99.9% pure, followed by 22K and 18K gold, which have 91.6% and 75% purity, respectively.