Karat and Gold Pricing Overview
Karat is the foundation of gold price interpretation. If karat is unclear, every comparison can become wrong, even when the numbers look precise. This page provides a practical framework for clean comparisons.
What karat means in market terms
Karat expresses purity. 24k is pure reference, while lower karat levels contain more alloy content. Pure metal value changes with purity, so comparisons across products only work when karat is aligned first.
- 24k: baseline for spot-linked tracking
- 22k and 21k: high purity with practical jewelry relevance
- 18k and 14k: lower purity, often selected for durability or design preferences
Why purity normalization is non-negotiable
A lower-karat item can appear "cheaper" while not being directly comparable in pure-metal terms. Serious analysis always normalizes purity first, then evaluates premiums and transaction structure.
How to apply this on MyCurrentGoldPrice
- Open any country route, for example India or United States
- Select karat mode before reading chart or quote values
- Keep karat fixed while comparing time windows
- Only after that compare dealer-level add-ons
Related guides
FAQ
Does lower karat always mean a bad deal?
No. It means lower pure-gold content. Deal quality depends on use case, durability goals, and final pricing.
Can I compare quotes without converting purity?
You can, but the comparison is unreliable. Purity normalization should come first.