Gold prices in India saw a slight decline on Tuesday, October 20, 2026. The price of 24 carat gold dropped by Rs 87 to Rs 14,717 per gram, while 22 carat gold fell by Rs 80 to Rs 13,490 per gram. Similarly, 18 carat gold decreased by Rs 65, settling at Rs 11,038 per gram. These fluctuations reflect broader market dynamics influenced by geopolitical tensions and economic pressures.
The price variations were consistent across most major cities, with minor differences in cities like Delhi, Vadodara, and Ahmedabad. For instance, in Delhi, 24 carat gold was priced at Rs 14,732 per gram, slightly higher than the national average. Meanwhile, Mumbai, Kolkata, and Bangalore maintained the standard rates of Rs 14,717 for 24 carat gold.
The recent decline in gold prices comes amid escalating tensions in West Asia. The United States' economic and military pressure on Iran has led to a severe warning from Iran’s Islamic Revolutionary Guard Corps (IRGC). Brigadier-General Hossein Mohebbi threatened to target critical undersea communication cables in the Strait of Hormuz if US attacks undermine Iran’s regional security. This geopolitical instability has driven a safe-haven rally in precious metals, contributing to the recent fluctuations in gold prices.
The collapse of a 60-day maritime armistice between the US and Iran, which was brokered in mid-June 2026, has further exacerbated the situation. The failure of the agreement has led to renewed missile strikes and heightened maritime risks, fueling fears of global energy disruptions. These factors, combined with foreign exchange instability and recent import duty revisions, have significantly impacted domestic and spot gold prices.