Gold price reduces to Rs 118,500

KATHMANDU: Driven by international factors, gold prices declined in the domestic markets today. According to Federation of Nepal Gold & Silver Dealers’ Association (FENEGOSIDA), price of fine gold decreased by Rs 400 to reach Rs 118,500 per tola. Tejabi gold stood at Rs 117,950 per tola. After a steady rise in the previous week, value of gold has steadily decreased this week. Silver also fell to Rs 1390 per tola, a drop of Rs 5.

The value of gold was influenced by previous weeks' data which observed a mix of strong labour data and better-than-expected Federal Reserve reports from the USA. Since the bullion has a negative correlation with US Dollar, gold extended losses due to the strengthening greenback.