Despite rupee´s depreciation, price of gold fell down by Rs 855 to Rs 47,755 per 10 grams on Friday.[break]
Currency
Rupee lost Rs 1.05 against US dollar over the week to close at Rs 88.20 on Friday. Weakened rupee increased import costs, but raised receipts of exporters as well as remittance earners.
Currency trading opened this week with exchange rate of rupee against US dollar fixed at Rs 87.15 on Sunday. Rupee lost 14 paisa on Monday after Indian currency weakened following political instability and fear of fall in inflow of foreign fund in India. Rupee dropped another 21 paisa to close at Rs 87.50 on Tuesday as Indian currency couldn´t gain confidence. Though rupee´s value remained unchanged on Wednesday, it weakened by 65 paisa on Thursday and another 5 paisa a day later to close at Rs 88.20 on Friday.
According to news agencies, the Indian currency wiped out most of the gains it made so far this year as political instability and concerns over widening current account deficit have been headwinds to the local market.
Similarly, the local currency lost a whopping Rs 3.08 against Euro and 43 paisa against the British Pound this week. On Friday, Euro was exchanged at Rs 114.77, while British Pound was valued Rs 132.75.
Bullion
Gold became cheaper by Rs 855 per 10 grams over the week.
Bullion trading opened this week with gold priced at Rs 48,610 per 10 grams on Sunday. Though the price remained unchanged on Monday, it went up by Rs 90 per tola to close at Rs 48,700 on Tuesday.
According to traders, gold price went up on Tuesday due to gold price surge in the international market and weakening of rupee vis-à-vis US dollar in the domestic market.
“The price, however, came down after the international market returned to normalcy," Tej Ratna Shakya, immediate past president of Federation of Nepal Gold and Silver Dealers´ Association.
Gold price came down by Rs 685 per 10 grams to close at Rs 48,015 on Wednesday. Taking cue from the international bullion market, gold price declined by another Rs 260 per 10 grams to close at on Rs 47,755 on Thursday.
However, price has remained same on Friday as well, the last trading day of the week.
Price of silver went down by Rs 34 per 10 grams this week. On Friday, silver was traded at Rs 857.5 per 10 grams.
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