Gold Rate in Mumbai
Mumbai, just like all other cities, houses several investment options for gold in the form of coins, bars, ingots, or the all-time popular gold ornaments. Gold price in Mumbai fluctuates as everywhere else, but that does not stop anyone from considering the precious metal as an investment option. Gold is the safest liquefiable asset in India standing against inflation and economic contingencies. Mumbai gold price is standard throughout the city, which is useful when buying as is or when trading it as a commodity in national and international markets.
The city houses the maximum number of gold buyers and sellers as it is the most populous of all the cities in our country. Gold price today in Mumbai is the direct representation of the purchasing power of the buyers of the precious metal in the commercial capital of India and only seems to increase with the rising demand the city faces. However, this month the current gold rate in Mumbai seems stable when compared to global markets.
GoldPrice in Mumbai
Known as Mayanagri which means `the city of dreams, Mumbai is one of the most popular markets of gold. The city is home to the highest number of gold sellers and dealers. The gold market here follows the same trends as the international gold market. Gold rate in Mumbai, which is determined on the basis of numerous factors, has been stable this year.
What is the Current Trend in the Gold Price in Mumbai?
Even though the gold price in Mumbai saw constant ups and downs in the past years, the demand for gold in this commercial city of India has been steadily rising. Thus, gold in Mumbai as long-term investments always attracts investors.
GST Impact on Gold Rate in Mumbai
After the Modi govt. introduced Goods & Service Tax (GST), 3% GST is now applicable to gold. As compared to the earlier rate, it is a little higher. For those who are fond of gold jewellery, GST may appear as a burden. Earlier, the making charges were service tax-free but with GST, a 5% charge is applicable to the craftsmanship. Obviously, this affected the gold rate in Mumbai initially, but now it is stable.
Gold as an Investment in Mumbai
One can avail gold in Mumbai in various forms like jewellery, coins, ornaments, bars, ingots etc. Gold can also be traded as a commodity in the national and international market. Trading of gold in the exchanges such as National Commodity and Derivatives Exchange (NCDEX), National Spot Exchange (NSEL) and Multi Commodity Exchange (MCX) is a frequently used mode of buying gold.
Investment Option in Gold in Mumbai
The commercial hub of India, Mumbai, is renowned for N numbers of things and gold is one of them. People here like to go with gold as an investment option as today gold rate in Mumbai leaves a hope for good returns in the future. This could be used as a hedge against current ongoing inflation as well as any unexpected depression. Hence, it is one of the most feasible options for investment. Lets check the investment options available in gold in Mumbai:
Coin and Bullions- Coin and Bullions have been used for years as a convenient investment option across the country. People find it convenient due to their easily manageable weight and the variable range of purity.
Jewellery: Indian gold market is famous for jewellery, especially among the women. Mumbai is among the top buyers and sellers of gold jewellery in South-west India.
Commodity Exchanges- Gold is also dealt through commodity exchanges such as National Commodity & Derivatives Exchange (NCDEX), National Spot Exchange Limited (NSEL) and Multi Commodity Exchange of India (MCX).
Various other Investment Options for Gold in Mumbai
How Can You Make Gold Investments in Mumbai?
Gold rate today in Mumbai is competitive. Various jewellery shops and dealers across Mumbai offer gold at cutthroat rates throughout the year. In synchronization with other cities in India, Mumbai has a large market for gold as it is one of the most populated cities across the country.
This yellow metal is available as jewellery, ornaments, bars, coins, funds, and exchange-traded funds which are safe and quick avenues for those who seek to invest in gold. There is a wide range of providers from whom one can buy gold in Mumbai.
Is Gold a Consistent Form of Investment?
Investing in gold is a good option, but one must consider the current condition of the market, scope of return etc. before investing. Same goes for gold in Mumbai. No doubt, investing in gold or other immovable assets is a wise idea but you must also prepare for any future possibilities. For instance, if you notice that the gold rate in Mumbai is higher but the price of real estate is going down, then opting for real estate is a good idea. On the other hand, if you wish to invest for a limited period or you want to have an easily liquefiable asset, then go for gold.
Gold price in Mumbai has been fluctuating constantly, depending on few factors. You will see regular ups and down very often. You can sell or buy it everywhere as per the applicable rate of that place. However, you wont get the exact price as the gold price today in Mumbai, you will get lesser than that.
Some Pointers for the Buyers before Purchasing Gold Jewellery in Mumbai
Below are some pointers to consider for those who are looking to invest in gold in Mumbai
The purity of Gold: Checking the purity of gold is an essential point to consider while purchasing gold. If it is not pure, your investment will go waste. The purity of gold is always measured in karats. 24K is the purest form of gold is 99.9% pure followed by 22K gold. So, while buying gold in Mumbai, only look for 24k or 22k hallmarked gold to avoid frauds.
Gold Jewellery: When it comes to buying gold jewellery, the purity ranges from 18K to 22K. It is not possible to obtain 100% pure gold jewellery as some metals have to be mixed to strengthen the yellow metal. While some local jewellers wont provide you purity certificate, branded jewellers can provide purity certificate while buying gold.
The sure-shot way of purchasing gold with maximum purity is going for the one that comes with a hallmark stamp. Furthermore, you should ask for BIS certificate which certifies hallmarked gold jewellery in India. No doubt, it will cost you a little more but it is worth it as it will guarantee the purity of your investment.
Price- It is another important thing that you must consider at the time of buying gold. Sometimes, you can avail gold at the market price, while in other cases, you need to pay the storage cost as well.
Locker Price- Everybody wants to keep his/her gold safe. For ensure the safekeeping of your gold jewellery, coins or bars, getting a locker is the best option. Bank locker keeps your valuables safe at the payment of an annual charge. However, one must have an FD account with the bank to avail locker facility.
Rate of Gold in Mumbai when Compared to Other Cities
In the last few years, the gold market in India has seen many variations. If we talk about the gold rate in Mumbai, the last quarter of the previous year showed a steady rise in the demand for gold. The demand for this precious metal in Mumbai increased as the wedding and festival season arrived in November-December.
Importing Gold into Mumbai
It is quite a tough to import gold in any country. There is a proper procedure for importing this yellow metal. However, if you want to bring back some gold after an international travel, there are certain rules to follow:
In case of a woman traveller, she is allowed to import gold jewellery worth up to Rs. 1 lakh with no import duty. In case of a male passenger, gold worth up to Rs. 50,000 can be imported without paying any duty.
If one goes with the rules, then it is not that difficult to get gold imported to Mumbai. Declare the quantity of gold you carry with you. Support the mechanism and make the process easy.
Factors that Affects the Gold Prices in Mumbai
Today gold rate in Mumbai is affected by the following factors.
Locally, the gold rate in Mumbai today is determined by the Indian Bullion Jewellers Association, based on certain things:
Difference between KDM and Hallmarked Gold inMumbai
KDM is traditionally used for making gold jewellery because of its low melting point. However, KDM is banned due to its harmful effects on health and thereby, has been replaced by hallmark gold.
Hallmark gold is quite famous in Mumbai as well. It is the purity certification of gold articles. Hallmark has five components which include BIS mark, fineness/purity of gold, Mark of Assaying and Hallmarking Centre, jewellery mark and the year of making. Therefore, whenever you buy gold in Mumbai, always look for the hallmark.
Latest News on Gold Rate in Mumbai
Gold Rates in Mumbai Decline
The prices of gold dropped as investors continue to sell it off whenever the prices increase. This resulted in a marginal drop in gold prices. Those planning to invest their hard earned money in gold may find its rate going down a little; however, experts believe that gold rates may soon increase a little from Rs. 27,000. December 2017, was a good time for gold buyers in Mumbai as the prices slipped down to Rs 28,200 for 22 karat gold, from Rs 29,200 per 10 grams of gold.
The prices of gold have been dropping significantly based on the global market trends. Last week, dollar stood a little weak which led to a little setback in the gold prices globally.
Ahead of the US Fed meet, the interest rate on gold prices has increased nominally, but this has not impacted the gold rates much in the market. The trend suggests that the gold prices will remain steady in the coming few days. In Mumbai, the current trend showcases an increased demand of 24 karat gold coins and bars.
Gold Prices in Mumbai Drop
Ahead of the 2-day US Fed meet, prices of gold saw a downfall in the month of December, 2017. The maximum prices saw a hike of 0.25 percent. The gold prices in Mumbai touched the Rs 28000 level; they were last seen trading at Rs 27,950 per 10 grams. As investors continue to bet against the precious metal, any drastic change in the gold prices seem unlikely in the coming few days.
The interest rate has gone up, directly affecting the gold prices and we get to see a remarkable dip in its prices across the global market. Due to increased selling of the metal, the prices of the metal dropped down to a significant level, closer to 4 months low. The prices might continue to be in a constricted range in the coming few weeks looking at the selling trend of the investors who have purchased the precious metal at a soaring high price.