How Gold Prices Work

The international benchmark is the LBMA Gold Price, administered by the London Bullion Market Association and quoted in US dollars per troy ounce (XAU/USD).

Local prices are derived by:

1. Take the base XAU/USD price 2. Convert to local currency using the FX rate 3. Adjust for purity (24K, 22K, 21K, 18K, 14K, 10K) 4. Convert to the local weight unit (gram, tola, baht, kilogram)

Market makers and refineries add small premiums for physical bars and jewelry.

What Moves the Price Day to Day

The XAU/USD benchmark itself shifts continuously, driven by:

• The US dollar's exchange rate against other major currencies
• Inflation expectations and real interest rates
• Central bank policy decisions, especially the US Federal Reserve
• Broader economic and geopolitical uncertainty
• Physical demand for jewellery, bars and coins, plus central bank buying

Each local-currency price on this site reflects that day's XAU/USD move plus that day's local exchange-rate move against the US dollar -- two separate, independently moving inputs, not one.

Why Purity and Weight Change What You're Actually Buying

A quoted price only becomes a fine-gold value once purity and weight are factored in. 24K (999.9 fine) is close to 100% pure gold; 22K (916.7 fine) is about 91.7% pure; 18K (750 fine) is about 75% pure -- so the same nominal price per gram represents proportionally less actual gold at a lower purity. Weight units compound this: a price quoted per gram, per tola (about 11.66g), per troy ounce (about 31.1g) or per baht (about 15.2g) isn't directly comparable without converting to a shared unit first, which is exactly what the calculator on every country page does automatically.