Gold price drifts higher; traded at Rs 118,300 per tola

KATHMANDU: Prices of fine gold and Tejabi gold increased by Rs 300 in the domestic market today.

According to Federation of Nepal Gold and Silver Dealers’ Association (FENGOSIDA), value of fine gold surged to Rs 118,300 per tola. Likewise, price of Tejabi gold inclined to Rs 117,500 per tola. Meanwhile, silver reached Rs 1405 per tola with a rise of Rs 5. 

Due to rising tensions in the Middle East, price of the bullion drifted higher. Developing uncertainty boosted the demand for gold, an alternative form of investment. In the week ahead, the focus will turn to the announcement of Federal Funds Rate and release of Federal Open Market Committee (FOMC) Statement on Thursday. It is widely speculated that the rates will remain unchanged but future rate hikes will be closely monitored owing to geopolitical issues.