Gold hits new high of Rs 57,700 per tola

Gold price increased by Rs 600 per tola (11.664 grams) overnight and hit a new high of Rs 57,700 per tola in the Nepali market on Tuesday as rise in international prices and weakening of rupee landed a double blow on consumers planning new purchases for the upcoming marriage season that starts next week. The yellow metal, which rose for the eight straight day on Tuesday, is on a bull run in the international market, which, according to Reuters, is largely due to global investors´ ´hope that the US Federal Reserve may launch more measures to stimulate the world´s largest economy´. Gold was traded at US$ 1,631.10 per troy ounce during early trading in the international market on Tuesday -- US$ 4.10 higher than Tuesday´s closing. Nepali rupee on the day shed 59 paisa against a dollar, rendering imports expensive, thereby jacking up the gold price. “This is really unfortunate. Rise in gold prices was already keeping buyers away. We fear the new high will further darken the business prospect for us,” said Tej Ratna Shakya, president of Nepal Gold and Silver Dealers Association (Negosida). With marriage season starting next week, bullion dealers were hoping of good business particularly as there was no problem with gold supply, which had troubled them in the previous marriage season. “But fresh sales barely stand at 15 kg a day. In the past, new sales during wedding season used to cross over 30 kg a day,” said Shakya. Though crowd of customers has started to build in shops dealing in gold jewelries, traders said only one out of 10 customers are making fresh purchase. As a result, daily sale of gold from the banks that is purchased by dealers has dropped sharply in recent weeks. “Dealers are buying only around 5 kg of gold from banks every day and are readily managing sales by using the stock,” said Shakya. While the sales of fresh gold have dropped, dealers said the recycle business has picked up as majority of customers are re-designing their existing possessions to fulfill the marriage requirements. Going by the Nepali culture, gold jewelries are must-have items in marriages. We estimate that people are fulfilling 40 percent of their gold ornaments requirement by recycling old jewelries, said Shakya. source-myrepublica.com/http://www.myrepublica.com/portal/index.php?action=news_details&news_id=36652

Gold hits new high of Rs 56,900

Gold climbed to all time high of Rs 56,900 per tola (11.664 grams) in the domestic market Kathmandu, gaining Rs 300 per tola overnight. While doing so, the yellow metal broke the previous high of Rs 56,800 per tola recorded on previous day. Officials of Nepal Gold and Service Dealers Association (Negosida) said they revised gold prices in line with the prices in international bullion market.