Gold price falls by Rs. 800 per tola

By A Staff Reporter,Kathmandu, Jan. 7: Prices of gold and silver, which have been increasing for the past few days, fell on Friday.The price of gold fell by Rs. 800 per tola in the domestic market Friday as compared to Thursday’s price.

According to the Federation of Nepal Gold and Silver Dealers’ Association (FENEGOSIDA), the price of gold decreased to Rs. 102,300 per tola (11.664 grams) today from Rs. 103,100 on Thursday.Likewise, the price of silver also decreased by Rs. 20 per tola to Rs. 1, 365 on Friday.

Earlier on March 9 last year, the price of gold had reached Rs. 105,500 per tola in the local market. The price of gold decreased on Friday in the local market due to decrease in its price in the international market, said Tej Ratna Shakya, gold trader and special member of the FENEGOSIDA.Fluctuations in the international market price have its impact in the domestic bullion market as well, he said.

Gold price in the international market has decreased by US$ 11 per ounce to US$ 1,841 today, he said. Price of gold was USD 1,852 per ounce in the international market on Thursday.The price of gold is still higher than it was two months ago. The price of gold was below Rs. 95,000 per tola two months ago.

However, the gold price dropped today, the present scenario showed that the price of gold will further increase in the international market, he said. "But, we cannot predict whether the price of gold will increase or decrease in this situation as the price of gold has been fluctuating significantly," he said.

Due to the high price, the transaction of gold was low in the market. The daily demand for gold stands at 10 kgs at present, he said. According to him, demand for gold has dropped significantly after its price crossed Rs. 100,000 per tola.