Sovereign gold bonds open for subscription at Rs 4,677 a gram

The third tranche of the sovereign gold bonds for FY21 opened for subscription on June 8. The bonds are issued by the Reserve Bank of India (RBI) on behalf of the government.

The Series III of the sovereign gold bond scheme 2020-21 will close for subscription on June 12.

The nominal value of the bond has been fixed at Rs 4,677 per gram while the issue date is June 16. Those applying online and making payment through digital mode will get a discount of Rs 50 per gram at Rs 4,627 per gram of gold, the Reserve Bank of India has said.

"The nominal value of the bond based on the simple average closing price published by the India Bullion and Jewellers Association Ltd (IBJA) for gold of 999 purity," the central bank said.

India Gold August Futures rose on June 8 despite muted international spot prices, but experts say the yellow metal can face some resistance around 46,000 per 10 gm.

On the Multi-Commodity Exchange, June gold contracts were trading higher by 0.63 percent at Rs 45,987 per 10 gram at the time of writing this copy.