Bullion prices increase as holiday season kicks in
Kathmandu, December 28
The bullion price has again gone up after declining for a few weeks in the domestic market in the trading week between December 22 and 27.
According to the Federation of Nepal Gold and Silver Dealers’ Association (FeNe- GoSiDA), gold was traded at Rs 71,600 per tola on Sunday that went up by Rs 300 a tola on Monday to be traded at Rs 71,900 per tola. On Tuesday, gold price settled at Rs 72,200 per tola rising by Rs 300 a tola.
On Wednesday, price of the yellow metal stood at Rs 72,800 per tola, increasing by Rs 600 a tola and it remained constant on Thursday. On Friday, gold price jumped up by Rs 500 a tola to close the trading week at Rs 73,300 per tola.
Compared to the previous week’s closing rate of Rs 71,600 per tola, gold price increased by Rs 1,700 per tola in this review period.
Likewise, silver price also increased slightly during the review period.
As per FeNeGoSiDA, silver was traded at Rs 855 per tola on Sunday and went up by five rupees a tola on Monday to Rs 860 per tola. On Tuesday, price of the grey metal increased by Rs 15 per tola to Rs 875 a tola and on Wednesday it reached Rs 885 a tola, increasing by Rs 10 per tola. On Thursday, silver price went up by five rupees a tola to be traded at Rs 890 per tola and it remained constant on Friday.
Compared to the previous week’s closing rate of Rs 850 per tola, silver price went up by Rs 40 per tola in the review period.
FeNeGoSiDA has stated that the weak value of the dollar in the domestic market has boosted the gold price. Moreover, due to the Christmas holiday in the New York market, bullion supply has declined in the Asian region. Hence, the price went up in the domestic market. Besides, the federation has also claimed that bullion price also increased as there was no major headway in the trade talks between China and the United States.
According to Reuters, supplies are limited as most of the international suppliers are on leave allowing sellers to charge a premium. Thus, gold edged higher and was set for its best week in over four months, as volumes remained thin in cautious holiday trade, supported by global economic growth concerns and US-China trade uncertainties.
Reuters further reported that gold prices flipped to a premium this week in India due to limited supplies even as demand remained subdued, while other Asian regions barely saw any holiday purchasing.