KATHMANDU, Aug 30: The price of gold in the domestic market increased by Rs 3,100 per tola (11.6638 grams) last week, hitting the record high price to cross Rs 200,000 per tola.
According to the Federation of Nepal Gold and Silver Dealers’ Association (FENEGOSIDA), the price of the precious metal fluctuated by Rs 3,400 per tola in the review period. The gold price plunged to as low as Rs 197,200 per tola on Monday while it went up at Rs 200,600 per tola on Friday.
Gold price hits new record, reaches Rs 187,000 per tola
The FENEGOSIDA attributed the role of multiple factors in the international market for the escalated price in the domestic market. “The US Federal Reserves’ move to reduce the interest rate, weakening price of Indian currency against the US dollar and the initiatives taken by countries like China, India and Turkey to increase their reserves in gold rather than the US dollar, are among the factors responsible behind soared price of gold,” reads the press statement of the federation.
Reuters, an international media, stated that gold prices rose around one percent on Friday and were poised for their best monthly performance since April, as US inflation data reinforced expectations that the Federal Reserve could cut interest rates next month. “Non-yielding gold typically performs well in a low-interest-rate environment,” Reuters reports.
Meanwhile, the price of silver increased Rs 10 per tola. In the review period, the price of silver declined to the lowest of Rs 2,345 per tola before closing the week at Rs 2,360 per tola.
