Gold Rate Today in Patna

Patna, the capital of Bihar, is the 5th fastest-growing city in India. Its rich past as the capital of the Mauryan Empire and promising future as a 21st-century metropolis make Patna an interesting mix of ancient and modern. Today, Patna serves as Bihar's central administrative, industrial, and educational nucleus. Its bustling markets are a testimony to the city's reputation as a business hub.

Gold is among the most traded commodities in Patna. From world-class showrooms to skilled craftsmen - a legion of specialists cater to the city's demand for gold. However, if you are a first-time investor, you must research the gold markets carefully. Most important, you should be aware of the ongoing gold rates in the city.

Factors Affecting Gold Prices in Patna

Interest Rate

Interest rates are inversely related to gold prices. For instance, when interest rates are low, the cost of gold decreases. This happens because people put their money in fixed deposits - a relatively safer option than gold. On the other hand, when interest rates go up, people turn to gold, believing that fixed deposits may not generate desired returns. This demand-supply imbalance caused by fluctuating interest rates impacts gold prices.

Inflation

Since many people see gold as a hedge against inflation, they tend to hold on to their gold assets in the face of a declining currency. This directly increases the demand for gold and drives up its prices.

Global Movement of Gold Prices

The cost of yellow metal in India is impacted by any changes in the price of gold on a global scale. India is one of the largest gold importers in the world; when import prices change due to a shift in global gold prices, the gold rates in India fluctuate.

Seasonal Demand

During auspicious festivals or weddings, gold prices in Patna typically show an upward trend. With more people buying gold, the demand for this precious metal rises significantly. The increasing demand causes gold rates to go up.

Investment Options for Gold in Patna

Matching pace with the rest of India, Patna has not restricted itself to just investing in physical gold. The young investors in the city are particularly interested in digital or paper gold. These options help kickstart their gold investment journey without the fuss of owning gold in physical form. However, gold jewellery as a traditional investment mode is still in demand. So, let us now look at how Patna invests its gold.

Digital Gold

Digital gold is a way of buying and selling physical gold online. Various online platforms allow investors to trade in digital gold. Further, this type of gold can be stored in secured vaults by the forum on behalf of the buyer.

Gold Exchange Traded Funds (Gold ETFs)

Gold ETFs are units representing gold in dematerialised form. To start investing, you need a Demat account. Each team in a gold ETF is issued and traded for 0.01 grams, 0.5 grams, or 1 gram of actual gold, depending on the fund. Gold ETF costs fluctuate in lockstep with gold prices.

Sovereign Gold Bonds (SGB)

The Government of India launched the Sovereign Gold Bond Scheme in 2015. These are Government securities issued by the Reserve Bank of India valued in grams of gold. They serve as alternatives to holding actual gold. They come with a lock-in period of 8 years. However, investors can buy or sell the bonds only using cash.