Mumbai, February 2: Gold prices in India witnessed a significant correction today, February 2, following a period of extreme volatility and record highs. In major cities like Mumbai and Delhi, 24K gold fell to approximately INR 14,717 per gram, down nearly INR 1,341 from the previous session. This sharp decline, driven by profit-booking and post-Union Budget market sentiment, has prompted many consumers to return to jewelry stores. However, understanding the technical differences between various gold purities remains essential for making an informed purchase.

The Recent Market Shift

The drop in prices comes just days after gold hit an all-time peak in late January. Analysts attribute the current slump to a stronger US dollar and the aftermath of the Union Budget presentation, which sparked speculation regarding import duty changes. Why Gold and Silver Prices Are Falling?

For buyers, this correction offers a more accessible entry point, but the "best" type of gold depends entirely on whether the intent is investment or wearable jewelry.

24K Gold: The Standard of Purity

24-karat gold is considered the purest form available, containing 99.9% gold with no other metal alloys.

Characteristics: It has a distinct, bright yellow luster.

Usage: Because 24K gold is naturally soft and pliable, it is rarely used for intricate jewelry as it can easily bend or scratch.

Best For: Investment. It is typically sold in the form of gold bars, coins, or digital gold. On February 2, 10 grams of 24K gold was trading at approximately INR 1,47,170 in the Indian market.

22K Gold: The Jeweler’s Choice

In India, 22K gold is the most popular choice for traditional wedding jewelry. It consists of 91.6 per cent pure gold, with the remaining 8.4 per cent made up of metals like copper, silver, or zinc.

Characteristics: The added alloys make the gold significantly more durable than 24K while maintaining a rich yellow color.

Usage: It is the standard for heavy necklaces, bangles, and temple jewelry.

Price Point: As of today, 22K gold is priced at roughly INR 13,490 per gram. While it is cheaper than 24K, it holds high resale value in the Indian market. Gold Rate Today, February 02, 2026: Check 22K & 24K Gold Prices in Delhi, Mumbai, Chennai and Other Cities.

18K Gold: Strength and Versatility

For modern and stone-studded designs, 18K gold is often the preferred medium. It contains 75 per cent pure gold and 25 per cent alloy metals.

Characteristics: This purity level is much harder than 22K, providing the structural integrity needed to hold diamonds and precious gemstones securely.

Usage: It is commonly used for engagement rings, diamond-encrusted jewelry, and rose or white gold variations.

Current Rate: 18K gold is available at approximately INR 11,038 per gram, making it a more budget-friendly option for contemporary fashion.

Key Takeaways for Buyers

When visiting a jeweler during this price dip, experts recommend checking for the BIS Hallmark to ensure the purity matches the price. While 24K remains the ultimate store of value, 22K offers the best balance for traditional wear, and 18K is the safest bet for high-end gemstone settings.

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(The above story first appeared on LatestLY on Feb 02, 2026 05:12 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).