Gold Rates Today, May 16: Yellow metal dropped on MCX? Check 18K, 22K, 24K prices in Delhi, Mumbai, Kolkata

Gold Rates Today, May 16: Amid the ongoing West Asia conflict, which began on February 28, with the US and Israeli military actions against Iran, gold prices continue to witness fluctuation, triggering uncertainty across the global markets.

In India, prices of yellow metal are largely influenced by international spot gold rates, US dollar fluctuations and import duties on gold, among other things.

Govt raised import duty on gold

The government on Wednesday, May 13, hiked import duties on gold and silver to 15 per cent from 6 per cent as part of measures to curb inbound shipments of precious metals amid a rising import bill due to the West Asia crisis.

Days after Prime Minister Narendra Modi's clarion call for curbs on gold purchases, along with other austerity measures to save on foreign exchange, the Finance Ministry, in a notification, hiked the social welfare surcharge (SWS) and the agriculture infrastructure and development cess (AIDC), effective May 13.

The duty hikes will raise the overall customs duty on gold to 15 per cent.