Gold price reaches record high of Rs 73, 500 per tola

KATHMANDU, Aug 26: The price of gold has reached a record high of Rs 73, 500 per tola (11.664 grams) in the domestic market on Monday, with the price seeing an increase of Rs 2200 in three days.

On Friday the yellow metal was traded for Rs 71,300 per tola. The gold price was Rs 72,500 on Sunday, according to the Federation of Nepal Gold and Silver Dealers’ Association.

The sharp rise in gold price is the result of the US Federal Reserve’s recent cut in interest and the intensifying US-China trade war. The gold price also hit a new six-year high around $1, 550 per ounce in the international market.

But the price rise has resulted in a decline in daily demand of gold dropping from 35 percent to 10 percent.