The gold price per gram in Philippines is a topic of interest for many investors and consumers alike. It is important to find out why gold in the Philippines fluctuates in deciding to buy or sell this precious metal.
This article is a good source of gold information. It helps you decide on investment in 2023.
Table of Contents
The Latest Update On Gold Price Per Gram In Philippines [Updated Today]
| GRAMS Philippines | Gold Price per Gram [PHP]in Philippine peso | High | Low | Change |
|---|---|---|---|---|
| 4,837.50 | 4,800.19 | -476.35 | ||
| 4,440.83 | 4,406.57 | -437.29 | ||
| 4,232.81 | 4,200.16 | -416.8 | ||
| 3,628.13 | 3,600.14 | -357.26 | ||
| 2,829.94 | 2,808.11 | -278.66 | ||
| 2,017.24 | 2,001.68 | -198.64 | ||
| 1,209.38 | 1,200.05 | -119.09 |
The gold price has risen 13% since the first quarter of 2022. Although it hit a low in February, it’s a positive trend to stay high stably in 2023.
Gold Price Per Gram In Philippines In The First 6 Months Of 2023
In late 2022, there was an uptrend since October. It almost reached 3,400 PHP for 24k gold in January 2023, about 13% higher than the previous year’s price.
It suddenly slid to the lower 3,300 PHP in February. Since then, the gold price per gram in Philippines has experienced a significant increase. It peaked in April with an average price of 3,550 PHP. Afterward, the price stays stable until June.
The gold price per gram in Philippines is expected to remain at its value and increase 66% by the end of 2023.
There are several reasons for gold prices to rise drastically. Let’s go through the next part for the details.
5 Factors Affect The Gold Price
The price of gold is affected by various factors, including market demand, inflation, international factors, the value of Pesos, and taxes and import duties.
Market Demand
When it’s up for the demand and down for the supply, the price of gold increases. Conversely, when the need for gold is low and the supply is high, the cost of gold decreases.
In the Philippines, the demand for gold is high due to its cultural significance and growing economy.
Trading Economics said the gold demand in the first quarter of 2023 was 13% lower than y/y. It was due to the resurgent Chinese market. Besides, the Central Bank has made efforts to buy gold and stabilize the economy.
Meanwhile, mine production and recycling haven’t had much positive change, with a 2% increment. The supply hardly meeting the market need also leads to a higher gold price.
Inflation
The inflation rate in the Philippines was unstable from late 2022 to April 2023. The currency’s value fluctuated, leading investors to buy gold as a safe-haven asset.
Inflation can increase the cost of production for gold mining companies, which can also contribute to higher gold prices.
Conversely, the inflation rate causes job losses, lower income, and costly necessities. Filipinos currently find it hard to afford their daily life in 2023. Many people are smarter in spending and saving.
International Factors
Ukraine’s war has put pressure on gold prices and peaked the power of purchasing American Dollars in the last 20 years. Russia stopped exporting oil and gas to Europe, affecting global inflation and gold prices.
COVID-19 has many consequences for the global economy, including the Philippines. The long-term lockdown shook the world economy. At that time, investors tend to invest more in gold – a safe haven asset.
Value Of Pesos
The price of gold is denominated in US dollars, which means that currency fluctuations can affect the price of gold.
When the US dollar is strong, the price of gold tends to decrease. Conversely, when the US dollar is weak, the cost of gold tends to increase.
In the Philippines, currency fluctuations can affect the price of gold, especially when the Philippine peso is weak against the US dollar.
In the first 6 months of 2023, the value of the Philippines Peso ran low from late January to early April. Consequently, the gold price per gram in Philippines was down from Jan to February and gradually went up afterward.
Taxes & Import Duty
The current import duty on gold in the Philippines is 2%. It is 10.5% and 1% less than China and India. As a result, gold suppliers prefer the Philippines to join the market, leading to higher supply and lower prices.
FAQs
Is It A Good Time To Invest In Gold?
Yes. Based on recent market trends, gold prices in the Philippines have been relatively stable over the past few months. However, investing in gold can be risky and subject to market fluctuations.
Which Gold Is The Best To Invest In?
24k gold is usually for wedding gifts, jewelry, coins, bars, etc. Its electrical conductivity makes it popular in electronics and medical devices.
Investing in 24-karat gold can be a good option as it is considered the purest form. The demand for 24k gold is high, with an increasing and stable price.
Conclusion
The gold price per gram in Philippines is influenced by various factors such as market demand, inflation, international factors, the value of Pesos, and taxes and import duties.
In 2023, this metal’s value is expected to increase by 66%. The current trend shows positive results on the way to reaching this target.
Overall, the gold market in the Philippines is dynamic and constantly evolving, making it an interesting area to explore for investors and researchers alike.
