Hyderabad: The rates of gold increased in Hyderabad on Sunday as the yellow metal witnessed pent-up demand in the city during the two-day Dhanteras.
In two days, the metal rates increased by over 1.6 percent. The rates of 24-carat and 22-carat gold that were Rs.50, 450 and Rs. 46, 250 on Friday jumped to Rs. 51, 290 and Rs. 47, 010 respectively on Sunday.
The rates of silver too increased during the two days. It jumped from Rs. 61500 per kg on October 21 to Rs. 63200 on October 23.
Not only in Hyderabad but a similar trend in gold and silver rates was also witnessed in other cities across India.
Dhanteras
Dhanteras is considered the most auspicious day in the Hindu calendar for buying items ranging from precious metals to utensils, to other valuables.
Normally, 20-30 tonnes of gold is sold on a Dhanteras day. Not only precious metals and jewellery, people also purchase vehicles and other items on the auspicious day.
This year, even high gold rates did not deter the consumers in Hyderabad and other cities from buying yellow metal on Dhanteras, which was spread over Saturday and Sunday.
On Sunday, there was a lull in the jewellery markets owing to the India-Pakistan cricket match. But the footfall picked up after the match and shops were abuzz with buying activity.
What impact gold, silver rates in Hyderabad, other districts?
Like any other product in the market, gold and silver rates are also dependent on demand and supply.
As the supply of gold in Hyderabad and other districts in the country is limited, any rise in demand impacts the rates.
Apart from demand and supply, other factors also contribute to the rise or fall in the gold rates. They include the global market, taxes, and dollar rate.
Among other factors, the dollar rate has a huge impact on the gold rates everywhere including Hyderabad.
As India is a net importer of gold, any rise in the dollar rate will make the yellow metal expensive to import thereby result in rise in the rate in the local market.
