Gold Rate Today in Dhanbad

Dhanbad is one of the major Tier 2 cities in India. It is the famed "coal capital of India", with hundreds of coal mines, some of the largest in the country. It is, therefore, a significant mining and industrial hub employing people from all parts of India.

Malls and shopping arcades have mushroomed here, giving impetus to shopping and leisure activities. Dhanbad's largely affluent and cosmopolitan populace creates considerable demand for gold here.
 

Why does the price of gold in Dhanbad fluctuate?

The value of the rupee in comparison to the dollar, geopolitical tensions, and supply and demand are some of the factors affecting gold prices. Let us take a look at them below.

1. Currency Changes - The price of gold in India is influenced by the rupee's exchange rate with the US dollar. The import cost and the selling price of the yellow metal will both be affected by variations in the rupee's value.
2. Interest Rates - The relationship between interest rates and gold prices has historically been inverse; when interest rates go up, people usually prefer selling gold or gold ornaments to make more money. Demand and price of gold, however, increase as interest rates fall.
3. Inflation - When inflation rates rise, currency values decline. When there is inflation, gold serves as a refuge of safety.
4. Demand and Supply - One of the most significant determinants of the price of gold in Dhanbad is demand over supply. When demand exceeds supply, the price of a commodity rises until an equilibrium is reached.

Similarly, when the supply exceeds the demand, the price falls until both are equal. It is common for gold to be in high demand during city festivals and even weddings. People tend to buy a lot of gold during festivals such as Dhanteras and Diwali, causing prices in Dhanbad to rise as well.

Factors to keep in mind while buying jewellery in Dhanbad

Figure out the latest trends in gold jewellery designs

Whenever there is a wedding season in the family, everyone looks at buying gold jewellery either as a gift or to wear on a special occasion. If you love to be in sync with the latest trends, check whether your jewellery is out of style, and you can exchange it for a trendy new design. You can also research a little more on current trends in gold jewellery and opt for something light and chic.

Recognise the purity and reliability

Checking the purity and quality of the jewellery, you plan to buy is crucial. Check the purity and market price before purchasing any jewellery.

Purchase jewellery with a hallmark

Always buy jewellery that has a hallmark because it is a guarantee of quality, purity and authenticity. Only purchase gold jewellery from a local vendor who offers it to you with a hallmark. This assures greater significance when you want to sell or exchange this jewellery at a later point. Certified, hallmarked jewellery will fetch you the correct market price at the time of selling/exchange.

Types of Hallmarks available:

According to the website of the Bureau of Indian Standards (BIS), gold can be hallmarked in six different purity categories: 14KT, 18KT, 20KT, 22KT, 23KT, and 24KT.

24-karat gold is too soft and is not suitable for jewellery making. Therefore other metals are added to pure gold to render it strong enough for jewellery design. In India, 22 karat is the most popular variant used in jewellery. Usage of 18 and 14-karat gold is reasonably prevalent, too and is gaining acceptance in recent times. Many brands now offer a range of 18 and 14-karat gold pieces as affordable, everyday jewellery.

How is the gold price in Dhanbad different from other cities in India?

Gold is mostly imported into India because there are very few gold mines in the country. Gold is imported by reputed banks, including ICICI Bank, State Bank of India, HDFC Bank, and Yes Bank. At market pricing, companies like MMTC (Metals and Minerals Trading Corporation) and STC (State Trading Corporation) import gold. As a result, when gold prices rise globally, India also has a corresponding increase.

Due to several factors, gold prices vary from one state to another. Prices for 22-karat and 24-karat gold vary from city to city, depending on local levies and taxes. Additionally, the India Bullion and Jewellers Association sets the pricing.