The yellow metal had touched the all time high of Rs 31,025 per 10 grams on June 8. Impact of the crisis has also been seen in sliver prices that touched a new high of Rs 491.50 per 10 grams on the day. [break]
Tej Ratna Shakya, president of Nepal Gold and Silver Dealers´ Association, said the rise in gold and silver prices in the country is due to rise in prices in international bullion market. “Gold and silver are going up due to financial crisis in some European countries that have been squeezing investment opportunities,” Shakya said.
They yellow metal had touched a new high of $1,256.80 per troy ounce in international bullion market on Friday.
Traders are worried as the soaring prices have affected gold sales for the last few days in the ongoing wedding season. “We were expecting brisk sales in this peak season for gold sales. But dealers aren´t seeing wedding shoppers as expected due to high prices,” Shakya said.
Gold sales hover around 25-30 kg per day on normal days, according to Nepal Gold and Silver Dealers´ Association.
Soaring gold prices during the ongoing wedding season - the peak season for sale of golden ornaments - have discouraged wedding shoppers, sharply dragging down the daily sales volume in the market.
Average daily sales of gold currently stand at around 20 kg per day, according to Shakya.
“Daily sales would have reached 30 kg per day had the prices not climbed this high in this wedding season,” Shakya said.
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