KATHMANDU: Following a surge in the international market, the price of gold in Nepal has been consistently setting new records.
On Sunday, the price of gold in the Nepali market reached an astonishing Rs 165,000 per tola, marking an increase of Rs 600 from the previous day (Friday).
In the international market, gold is currently priced at 2,721 US dollars per ounce.
This rise in price abroad has been reflected in Nepal as local rates adjust accordingly.
According to Reuters, the gold price surge can be attributed to two primary factors: the ongoing conflict in the Middle East and uncertainties surrounding the upcoming American elections.
Reports suggest whenever international tensions and conflicts rise, demand for gold increases.
Currently, there’s unrest in the Middle East, coupled with uncertainty related to the US presidential election, which has led to a shift in investment toward gold, according to Reuters.
Additionally, the declining interest rates in the US are contributing to the increase in gold prices.
The American central bank has adopted a strategy of lowering interest rates, which has further fueled demand for gold.
The combination of the Russia-Ukraine war, high reserves held by central banks worldwide, decreasing interest rates in the US, and the recent Iran-Israel conflict has collectively driven the price of gold higher.
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