Abstract

The study aims to uncover some of the important determinants of India's Gold price premium and discount. Does India's gold price premium or discount hold seasonal anomalies? Our answer is yes. This is the first attempt, and no studies consider India's gold price premium and discount and seasonal anomalies. Hence, the proposed research tries to document an important pattern of India's gold price premium and discount that can help to formulate policies that affect gold import. Further, we find day-of-the-week effects; month-of-the-year effects, quarter-of-the-year effects, and Festive anomalies: like Makar Sankranti; Akshay Tritiya; Dussehra and Diwali(Dhanteras(Entire Dipawali period)); Pitru-Paksha. Our empirical results indicate that India's gold price premium and discount hold seasonal anomalies. In the day of the week effects, Wednesday seems to be apparent for the highest discount, and month of the year effects, September reported the most considerable discount, and October, November, and December seem to be traded with premium.