Gold nudges up, silver stable

Kathmandu, February 3

Gold price went up slightly, while silver was mostly stable in the trading week between January 28 and February 2.

According to the Federation of Nepal Gold and Silver Dealers’ Association (FeNeGoSiDA), weaker dollar coupled with rise in oil prices and drop in employment rate contributed to the rise in the price of the yellow metal. “Looking at the geo-political situation in the United States, gold price is likely to rise in the coming week as well,” the association said in a statement.

FeNeGoSiDA had set trading rate for gold at Rs 57,400 per tola when the market opened for trading on Sunday and its price remained the same the next day. On Tuesday, bullion price fell by Rs 400 a tola to be priced at Rs 57,000 per tola. The price of the precious yellow metal more than recouped the loss in the following three days — up Rs 200 a tola to Rs 57,200 per tola on Wednesday, up Rs 100 a tola to Rs 57,300 per tola on Thursday and gaining Rs 500 a tola to Rs 57,800 per tola on Friday.

The local association of dealers of precious metals had fixed silver price at Rs 760 a tola on Sunday and its price was unchanged the next day. On Tuesday, the price of the grey metal dipped by five rupees per tola to be traded at Rs 755 a tola and remained stable on Wednesday. On Thursday, however, it annulled the previous loss by rising five rupees a tola to Rs 760 per tola and remained steady on Friday.

Meanwhile, the demand for physical gold improved this week in India as jewellers resumed purchases after the government kept import taxes on the precious metal unchanged, while buying remained subdued in most other centres in Asia.

In top consumer China, demand remained muted ahead of the Chinese New Year, which kicks off on February 16. High prices were also a deterrent for demand, according to Reuters.