Gold price skyrockets, comes down

Kathmandu, March 22:

Gold, this week, jumped to a record high Rs 21,435 per 10 gram on Monday — Rs 25,001 per tola (11.664 gram) — in the domestic market, a rise by Rs 600 per 10 gram in a day from Sunday’s Rs 20,835. It was not only a record price but also a record rise in a day with Rs 600 per 10 gram (Rs 700 per tola). However, the price rolled back again on Tuesday, the third day of the trading at the domestic market, at Rs 21,090 per 10 gram or Rs 24,599 per tola. The domestic market has been forced to control the price as it is bearing the burnt of deepening woes in the global financial system that have triggered rampant safe-haven buying of gold and silver with gold testing above $1,030 per ounce in the international market on Monday.

“Continuous weakening of dollar, rising crude price that hit $112 per barrel and economic slowdown in the US, have pushed the price of precious yellow metal up,” states Nepal Gold and silver Association. Apart from the price rise, end of the wedding season and nearing Constituent Assembly election have hurt the market domestic gold market.

In the international market, gold prices reached its highest in 25 years.