Nepal Rastra Bank to amending gold guideline

The Nepal Rastra Bank (NRB) is preparing to recommend the Ministry of Commerce and Supplies to review the guideline on gold and silver management. The revision is targeted at simplifying the existing gold distribution provision. The guideline introduced on Dec. 27, 2010 has allowed commercial banks to import 15 kg of gold per day and release it in the domestic market.

However, only few traders approached to designated commercial banks to buy gold. After the implementation of the guideline, three commercial banks have imported 150 kg of gold so far. Of the quantity, only 60 kg has been procured by traders. "We will soon recommend the Ministry of Commerce and Supplies to review the guideline," said Chinta Mani Shiwakoti, director at the Foreign Exchange Department of NRB. He said the NRB will soon hold a meeting with ministry officials in this regard.

Recently, the NRB had held a discussion with traders and bankers regarding import of the yellow metal and its distribution in the market. In the meeting, traders had strongly demanded revision of the guideline, saying it was `impractical'. It has been more than a month since the government implemented the new guideline. However, only 2-4 kg of gold is sold from banks per day. Currently, the gold demand is around is 25-30 kg per day and gold imported illegally from India fulfills a large portion of the demand.

Tej Ranta Shakya, president of Nepal Gold and Silver Dealers Association, said although gold brought from India is expensive by some Rs 300 per 10 gm, traders opt for Indian gold as there are no hassles in acquiring it. "Over the last month, we only recommended for 15 kg of gold," he added. A total of 16 commercial banks are listed by the Nepal Bankers' Association to import gold. With low response from traders, only three banks¿NIC, Bank of Kathmandu and Laxmi¿have imported 50 kg of gold each as of Feb. 8.

"Demand from traders is low," said Saroj Guragain, head of the Financial Market and Commodities division of NIC Bank. He said traders are reluctant to procure the yellow metal from banks. Due to low sales, banks are also facing the burden of increasing holding cost of gold. Therefore, many banks are not interested in importing gold. As per the guideline, commercial banks can sell 1 kg of gold at a time. But traders said small traders are finding it difficult as their requirements are low. The provision to submit the details of at least 50 percent of gold bought earlier to buy new gold is also not practical, they said.

"The guideline was targeted for small traders. However, from the looks of things, it has only helped big traders," said Shakya. He said the government should make a provision that allows banks to sell gold to wholesalers too, so that they could distribute gold to small traders.

Source:
myrepublica

Banks resume gold import with 100 kg

The gold import has finally resumed after four-month long halt as the two commercial banks imported 100 kg of gold to supply in the domestic market. "NIC Bank and Nabil Bank have imported 50 kg each to supply in the Bagmati zone," said an official associated with gold trade. "Laxmi Bank is also in the line to bring the gold," he informed. The imported amount of gold will be able to provide for the bullion traders of Bagmati zone for 11 days as per the designated quota. "The daily demand for gold in Bagmati zone exceeds 20 kg a day in the off season. Therefore, this amount of gold will not be enough," he said, adding that it will only increase the illegal trafficking of the gold from India.

The ban imposed on gold import was formally lifted after three and half months ¿last month after the central bank issued guidelines to the commercial banks and the traders regarding conditions for gold import. The central bank has fixed 15 kg per day as the quota for gold import solely through authorised commercial banks. However, the gold traders are lobbying for the free import under the provisions of Open General License (OGL) so that there will not be any quota restriction regarding the import. Likewise, the traders are still voicing their discontent with the provisions regarding the distribution among the different gold and silver trading associations.

"The new provisions will create some more disputes among the traders as the quota is so small no dealer will be satisfied with the amount they will get," he said. The bullion traders have been asserting that the distribution will only cause another dispute in the market like one in August 2010 which kept the jewellery market shut for a week. To control escalating Balance of Payments (BoP) deficit caused by excessive gold import, the government had increased the customs duty in March to match with that of India's through an ordinance which expired in September, stopping the supply of fresh gold and silver in the domestic market. The budget of this year then determined the new customs rate for gold at Rs 1,000 for 10 gm and Rs 2,400 for a kg of silver.

Source:
tht

Gold import hits a new roadblock

From the looks of the things, import of gold and silver will not resume at least in next few days due to delay in framing guidelines regarding import of gold and silver by commercial banks. The Ministry of Commerce and Supply (MoCS) has finally asked the central bank to prepare a guideline for commercial banks, stating terms and conditions for the import of gold and silver.

MoCS request comes after two weeks since the financial ordinance has lifted the ban on the import of gold and silver. However, the ministry has asked the central bank to consult it while preparing the guidelines. We sent the official letter today to Nepal Rastra Bank (NRB), asking to draft a regulation regarding bullion import, said Purushottam Ojha, Secretary at MoCS. The MoCS letter has asked NRB to frame the regulation in coordination with the ministry. Thus, this will take a few days more," said Gopal Kafle, Spokesperson for NRB.

If NRB alone had to prepare the regulation, it would have been ready in a day. But now, we have to prepare it in consultation with MoCS. It may take a little longer," he added. The government officially lifted the ban on import of gold and silver two weeks ago, authorising commercial banks as the sole importer for both gold and silver. However, commercial banks fall under the jurisdiction of NRB.

The central bank is yet to issue guidelines for commercial banks to follow regarding import of the precious metals. Until the guidelines have been issued, commercial banks do not have the authority to import or sell gold and silver to traders. Most importantly, NRB needs to fix the import quota for both the metals.

Source:
tht

Gold close to Rs 40,000 per tola

Domestic gold market recorded a whopping jump of over Rs 1,300 per ten grams to hit new high of Rs 39,600 per tola (11.664 grams) on Tuesday as the market opened after four-day Tihar festival. Gold was priced at about Rs 38,300 per tola when the market closed for the festival on Thursday last week. The gold dealers attributed the rise to increase in international prices of the yellow metal.  

International gold price had risen to record US$ 1,414.60 per troy ounce (31.103 grams) on Tueday on the back of sliding dollar. As such economic woes instantly impel investors to switch to gold -- the safer haven -- it spurred demand causing the global prices to shoot up. However, local dealers fear that such huge rise in prices could cause sales to recoil, especially as the new wedding season is starting from November 21 and they were expecting to make a good business over the next one month.

"After long-running shortage, we had just started to witness growth in business. But the price inching close to new psychological level of Rs 40,000 per tola has dampened that prospect," said Tej Ratna 0Shakya, president of Nepal Gold and Silver Dealers Association. Dealers even anticipated the prices to jump further over the next few days adding woes to Nepali gold market that had been in tatters over the last couple of months, mainly after the government banned its import on failing to maintain higher tariff due to the lack of political understanding on the issue.

While the step was aimed at curtailing the country´s soaring trade deficit, it had caused short-supply, triggering inward smuggling of gold from India. "We had failed to meet the demand in the weeks before and after Dashain due to inadequate supply. Now when situation started to improve with Nepal Rastra Bank (NRB) auctioning out 100 kgs of gold every week, a new wave of price rise threatens to rattle customers," said Shakya.

Gold and jewelry dealers have been anticipating sales to rise by 50 percent during the upcoming wedding season. This would have soared sales volume to some 30 kgs a day. But with the price rise, they anticipate the people to recycle their old ornaments to meet their family and social obligations. "We expect the demand to plummet now," said Shakya. Dealers stated that they anticipate the recycled use to jump to 50 percent, limiting fresh sales to around 15 kgs a day. That is not all. Silver too hit new high of Rs 664.50 per ten grams (Rs 775 per tola) in the local market. The rise again is attributed to international market as silver was traded at US$ 28.16 per troy ounce, which was a 30-year high, Tuesday.

Source:
myrepublica

Rupee gains, gold price keeps soaring

KATHMANDU, Nov 27: Nepali currency gained against US dollar, as globally weakening dollar failed to lure investors in the Indian market as well, this week. Gold price, on the other hand, continued to follow the suit of international trend and galloped to the new record of Rs 33,700 per tola (11.664 gram) on Friday. 

Currency

Nepali currency strengthened by 28 paisa against a US dollar over this week. A dollar was exchanged at Rs 74.55 on Friday.

Nepal Rastra Bank had fixed the exchange rate of a dollar at Rs 74.83 on Sunday. On the back of slipping dollar against the Indian currency, with which Nepali rupee is pegged, Nepali currency gained 23 paisa on Tuesday. However, this trend reversed overnight on Wednesday, but rupee bounced back and gained 26 paisa (as compared with Wednesday) against a dollar on Friday.

Rupee, however, weakened against a euro by 93 paisa, but it recorded a gain of 77 paisa against a pound sterling this week. On Friday, a euro was exchanged at Rs 112.51, while a pound sterling was exchanged at Rs 123.72.

Bullion

Gold price continued its upward spiral and touched a new high of Rs 28,895 per 10 grams, gaining Rs 945 over this week, in the domestic market. The yellow metal dealers, who are catering to investors rather than general consumers these days, attributed the rise to sharp increment in the price in the international market.

Nepal Gold and Silver Dealers´ Association, which sets domestic price of gold based on the price movement at New York COMEX House, had opened the market at Rs 27,950 per 10 grams on Sunday. With international prices escalating, gold price broke records on every following days of the week.

On Monday, gold became expensive by Rs 200 per 10 grams, and the price further jumped by Rs 230 by Wednesday and additional Rs 340 on Thursday. On Friday, too, it recorded an overnight jump of Rs 175 per 10 grams.

The price of silver also soared to Rs 465 per 10 grams on Friday in the domestic market.

REPUBLICA

Gold gallops both at home and abroad

KATHMANDU: High speculation over gold price is creating an unexpected demand for 
the precious yellow metal in the international market with skyrocketing trading prices of gold.
Talking about the probable reasons for the unusual price hike of gold in the international market, Nepal Gold and Silver Dealers’ Association (NEGOSIDA) president tej ratna Shakya said there is fluctuation in the value of the dollar compared to other currencies and the dollar is getting weaker compared to the yen. Thus, investment in gold is being seen as safer than in the dollar or share market. Shakya also reasoned that as the value of Indian currency also fluctuated this week the cost of production got higher affecting the domestic trading price of gold here.
“On November 2, India sold 200 tonnes of gold but due to speculation regarding gradual increment in gold price, the gold was bought by a single buyer,” said Shakya adding that another possible reason could be the growing reverse trend of the European Central Bank. Earlier, European Central Bank used to sell gold but now it has started buying gold.
Shakya said that here gold dealers are facing reverse trend compared to the international market. Due to increase in price of gold people here are not willing to make any gold transaction as the buying capacity and the earnings of the people are still the same while compared to the international market gold is being the most secure investment in the international market.
Last year there used
to be gold transaction of 25 kg per day and the trading price was Rs 22,000- 23,000 per tola last Kartik/Mangsir, the favourable season for gold transaction due to marriage season here. Currently there is a great fall this season as gold transaction is only around 5 kilos per day, said Shakya.
Gold hit another record breaking price of Rs 31,100 per tola on Thursday, continuing at the same price today. The market this week closed today at the high price of Rs 31,100 per tola. According to NEGOSIDA, gold got traded for $1088 per ounce on Thursday, effecting a rise in the trading price of gold in the domestic market — Rs 26,665 per 10 gram (Rs 31,100 per tola). Gold this week opened at Rs 25,635 per 10 gram and remained at the same price on Monday. On Tuesday, gold priced at Rs 25,980 per 10 gram, Wednesday, it was at Rs 26,500 per 10 gram. Meanwhile, silver opened at Rs 424.50 per 10 gram and remained constant till Tuesday. Silver got traded for Rs 437 per 10 gram on Wednesday and Rs 439 on Thursday. Silver closed at Rs 439 per 10 gram today.
Himalayan News Service

Investment in gold, silver as hedge up five-fold

KATHMANDU, : With growing uncertainty in investment in other sectors amid deepening impact of global financial crisis and rising inflation, customers have started making investment in precious metals like gold and silver, traders say. They said that the purchase of gold and silver for stocks has increased by five-fold over five years.
“Earlier, investors used to be fully interested to invest in golden ornaments. Now, gold is regarded as a hedge against inflation to secure investment,” Tej Ratna Shakya, president of Nepal Gold and Silver Dealers Association (NEGOSIDA), told myrepublica.
Shakya said share of the gold purchased by the customers to secure profitable investment has increased to 25 percent as compared to around 5 percent in 2004.
“We have expected the imports of gold to increase during this fiscal year as compared to the fiscal year 2008/09 when the import was recorded at around 5,000 kg. But soaring bullion prices can bring a setback in imports this year as customers are expected to lower demands for the precious yellow metal,” added Shakya.
Similarly, sales of silver have also increased significantly in the market with the increasing use of silver in industrial purpose among domestic consumers, said Shakya.
On average, daily sales of silver hover around 100 kg, which is almost 20 percent higher than what was recorded a couple of years back.
“The diversified use of silver besides ornament purposes has pushed up silver demand in domestic market. The imports would further go up if we boost exports of silver ornaments by increasing their quality,” Shakya said.
The trend of using silver in industrial purpose such as photography, scientific research, medicine, electronic goods and decoration and even in furniture has raised demand of silver in Nepali market.
However, ballooning price of gold and silver in international market has offset the sales even during festive seasons as compared to the same period in the past years, according to the traders.
Shakya said sales of gold have dropped to an average of 10 kg per day, down from the average sales of 15 kg per day due to ever increasing gold prices in domestic as well as international market.
Price of gold in domestic market reached a new high of Rs 25,765 per 10 gram (Rs 30,050 per tola) on Oct 14, with international market price touching $1058 per troy ounce. Nepal imports gold and silver from Hong Kong, Singapore and the United Arab Emirates.

REPUBLICA

Fading dollar adds shine to rupee, gold

REPUBLICA
KATHMANDU, Oct 10: Nepali currency recorded substantial gain against the US dollar as globally weakening greenback lost its weight against the Indian currency as well, with which Nepali rupee is pegged. Despite the currency appreciation, gold price soared in the domestic market, as the international gold price reached a record high this week.

Currency
Nepali currency appreciated a whopping Rs 2.10 against a US dollar, rendering imports cheaper but slashing income earning for exporters and remittance receivers over this week. A dollar was valued Rs 74.55 on Friday.
Nepal Rastra Bank had fixed the exchange rate of a dollar at Rs 76.65 on Sunday. As dollar went on to weaken against major rival currencies and also the Indian rupee with which Nepali rupee is pegged, rupee recorded a consistent gain against the greenback over the week. For instance, rupee gained 32 paisa on Tuesday, an additional 80 paisa on Wednesday, 48 paisa on Thursday and 50 paisa on Friday.
Likewise, rupee gained Rs 1.31 against a euro and Rs 2.44 against a pound sterling during the period. On Friday, a euro was exchanged at Rs 110.07, while a pound sterling was valued Rs 119.44.

Bullion
Gold became expensive by Rs 34.5 per gram in the domestic market over this week. Nepal Gold and Silver Dealers´ Association that tagged the gold price at Rs 25,425 per 10 grams on Friday attributed the rise to the increment in the price of gold in the international market.
According to the association, domestic bullion market opened on Sunday with gold priced at Rs 25,080 per 10 grams. The price receded on Monday, but as the international price soared to create a new record, gold price jumped to Rs 25,205 per 10 grams on Tuesday, went up by an additional Rs 130 on Wednesday and Rs 115 on Thursday. The price inched down marginally by Rs 35 on Friday.
Along with gold price rally, the price of silver too soared to touch record high in the domestic market this week. Silver was traded at Rs 441 per 10 grams, a record high in the country, on Friday. As Nepal meets domestic bullion requirements through imports, any fluctuation in the international prices directly affects the domestic prices.

Silver touches new high in domestic market

REPUBLICA
KATHMANDU, Oct 8: In line with the mounting bullion prices in international market, price of silver touched a new high in domestic market on Thursday.
Nepal Gold and Silver Dealers Association (NEGOSIDA) said the price of silver rose to Rs 441.50 per 10 grams on Thursday. Silver was priced at Rs 433 per 10 grams on Wednesday.
“Earlier, silver had hit a record high of Rs 437 per 10 gram before the Dashain festival. Bullion prices have been rallying in the last few days as people have been buying precious metals as hedge investment,” said Tej Ratna Shakya, president, NEGOSIDA. He further added that depreciation of dollar against rupees, however, prevented rise in price of gold and silver in domestic market as per the international prices.
Shakya said sales of sliver have nosedived in domestic market due to high prices, despite the festive season when customers buy goods made from silver. “Silver sales have dropped by almost 50 percent as customers are showing less interest to buy silver goods due to soaring prices in the past few days,” Shakya informed.
According to traders, sales of sliver in domestic market hover around 100 kg per day on normal days. Nepal mostly imports silver from the United Arab Emirates, Australia and Hong Kong.

Gold price hits record high above $1,058

LONDON: In early morning trade on the London Bullion Market, gold struck 1,058.48 dollars an ounce, which was the highest level in history. It had struck a record high of 1,048.43 dollars on Wednesday.
The glamorous metal, used in jewellery, dentistry and electronics, has struck a series of all-time highs this week on the back of a sliding dollar that has made the precious metal cheaper for investors holding other currencies, boosting demand.

Gold crosses $1000 per ounce, but nepali market untouched.

Himalayan News Service
KATHMANDU: The international market witnessed a huge rise in the price of gold as it crossed $1000 per ounce in yesterday’s trading, but the domestic market did not observe any high.Traders opined that due to the lower exchange rate the price in the domestic market has not gone overboard — or hit a record — in comparison to the international price.“The exchange rate had affected the domestic bullion market last year but today the rate is at Rs 78 only,” said Nepal Gold and Silver Dealers’ Association (NEGOSIDA) president Tej Ratna Shakya adding that the exchange rate has helped the domestic market keep the gold price from rising.According to him, the exchange rate of dollar is Rs 78 today due to which there is not much hike in the gold price as was observed during the last record price on February 22 this year.That day, gold in the domestic market had touched a historic high of Rs 25,550 per 10 gram — Rs 29,800 per tola (11.66 gram) — due to weakening dollar. Then, the dollar exchange rate was Rs 82, though the international price of gold was only $992 per ounce.On July 16 last year, gold was traded at $1045 per ounce in the international market and in the domestic market the price of gold was only Rs 25,450 per tola as the exchange rate was Rs 62 per US dollar. According to the association, gold today was traded at Rs 25,380 per 10 gram — Rs 29,600 per tola — while silver was traded for Rs 422 per 10 gram.

Gold at $1000 per ounce
KATHMANDU: The gold price on September 8 broke the record ‘symbolic’ $1000.00 per ounce mark reaching $1004.50 on the 11 am London price fix and topping $1007 during the morning trading. Before early September, the highest 2009 price was on February 20 when gold fixed — in the afternoon — at $989 and it has been traded between $870 and $993. The rise translates to an annual increase of more than 21 per cent on the average price from last September that was $829.93 per ounce. The new high of $1000 per ounce record follows a sustained rise in price over the past seven years.

Rupee weakens, gold jumps over Rs 25k

REPUBLICA
KATHMANDU, Sept 4: Nepali currency continued its downward spiral against the US dollar over this week as well, as the greenback gained against the Indian currency to which the Nepali rupee is pegged. The currency´s drop along with the rise in the international price of gold, on the other hand, caused the yellow metal to jump sharply in the domestic market over the period.

Currency
Despite initial gain, the Nepali rupee weakened by 32 paisa vis-à-vis the US dollar this week. One dollar was valued at Rs 78.77 per dollar on Friday.Nepal Rastra Bank, the country´s monetary authority, had fixed the Nepali currency at Rs 78.45 per dollar on Sunday. Subsequent to a decline in the value of the greenback against Indian currency, the rupee gained against US dollar on Monday by 30 paisa. But it caught a devaluation trend from Tuesday, dropping to Rs 78.38 per dollar Wednesday and losing a further 28 paisa against the greenback Thursday.
The rupee gained against the euro and pound sterling by 24 and 31 paisa respectively over the week. One euro was exchanged at Rs 112.18 Friday, while one pound sterling exchanged for Rs 127.43 the same day. Going by the open market exchange regime, the rate varied marginally among the commercial banks.

Bullion
Gold became more expensive by Rs 86 per 10 grams on Friday compared to Sunday, as international prices soared amid rising demand over the week. Dealers traded the yellow metal at Rs 25,250 per 10 grams Friday.
According to Nepal Gold and Silver Dealers´ Association (NGSDA), gold traded at Rs 24,390 per 10 grams Sunday. The price of the precious metal jumped Rs 44 per 10 grams on Monday, but it eased to Rs 24,305 per 10 grams Tuesday. The price rallied thereafter, jumping to Rs 130 overnight on Wednesday and further soaring by more than Rs 300 Thursday and an additional Rs 400 on Friday.
Silver too went up sharply to Rs 400 per 10 grams by Friday. As Nepal fulfills its domestic bullion requirements through imports, any fluctuation in international prices directly impacts domestic prices.

Gold gets dearer as rupee falls

KATHMANDU, Aug 29: Nepali currency continued to lose value against US dollar over this week, as greenback gained against Indian currency with which Nepali rupee is pegged. The global bullion market, on the other hand, remained fairly stable, but gold price marginally went up in the domestic market as a direct impact of devaluation of rupee.
Currency
Despite initial gain, Nepali rupee vis-à-vis US dollar weakened by 37 paisa over this week. A dollar was valued at Rs 78.62 a dollar on Friday.Nepal Rastra Bank had fixed exchange rate of Nepali currency at Rs 78.25 per dollar on Sunday. Subsequent to a decline in value of greenback against Indian currency, with which Nepali rupee is pegged, rupee gained against US dollar over the next three days and valued at Rs 77.93 per dollar on Tuesday. Rupee, however, spiraled downwards over the next three days, dropping to Rs 78.40 per dollar on Thursday and losing further 22 paisa against the greenback on Friday.Likewise, rupee fell against euro by 66 paisa over this week and a euro was exchanged at Rs 112.10 on Friday. It, however, gained Rs 1.50 against a pound sterling over the week. According to NRB, a pound sterling was exchanged at Rs 127.41 on Friday.
Bullion
Gold price became expensive by Rs 45 per 10 grams on Friday, compared with the price on Sunday, even though its global price remained fairly stable over the week. Dealers, who traded the yellow metal at Rs 24,265 per 10 grams on Friday, attributed the rise mainly to the devaluation of currency.According to Nepal Gold and Silver Dealers´ Association (NGSDA), gold was traded at Rs 24,220 per 10 grams on Sunday. The precious metal became cheap by Rs 40 per 10 grams on Tuesday, but it soon rallied to Rs 24,265 per 10 grams on Tuesday and was traded at that price throughout the remaining days of the week. The price of silver remained constant at Rs 377 per 10 grams over this week. - REPUBLICA

Bullion gets dearer as oil price rises abroad

KATHMANDU: Rising petroleum price in the international market directly affected the Nepali gold market this week. One barrel of petroleum was sold for $76 this week which is $2.44 more than the previous week. Ten grams of gold sold in the Nepali market at between Rs 23,875 and Rs 24,220 from August 9 to 14. Gold has become dearer by Rs 85 this week compared to the previous week, Nepal Gold and Silver Dealer’s Association (NEGOSIDA) said. The gold market closed last Friday at Rs 24,135 (per 10 grams).

According to NEGOSIDA, the international gold market experienced a jump of $2 per ounce of gold in the period from $954 on Sunday to $956 on Friday. The gold market was also influenced by the exchange rate of Nepali currency and US dollar — $1 equal to Rs 77.50. As per the rate, one tola (11.664 grams) of gold sold between Rs 27,848 and Rs 28,250 this week. The silver market also experienced a hike of Rs 13 this week. Ten grams of silver sold at Rs 377 on Sunday and which rose to Rs 390 on Friday, the closing day. - HImalayan News Service

Rupee weakens, gold price up

Rupee weakens, gold price up

KATHMANDU, Aug 15 : Nepali currency that gained against the US dollar in the initial days of the week spiralled down in the latter part of the week, resulting in a net devaluation of the rupee against the greenback during the week. Weakening of rupee along with gross increase in the international price of gold made the yellow metal expensive in the local market during the same period.

Currency
Nepali rupee devalued against the US dollar by 86 paisa over the week as greenback gained against Indian currency with which rupee is pegged. A dollar was exchanged at Rs 77.74 per dollar on Friday.
Nepal Rastra Bank (NRB), the monetary authority of the country, had fixed Nepali currency´s exchange rate at Rs 76.88 a dollar on Sunday. As US dollar slipped against the Indian currency, Nepali currency appreciated against the greenback over the next three days and was valued at Rs 76.80 on Tuesday. But it started to dip from Wednesday losing 21 paisa on Wednesday and 73 paisa on Thursday.
However, rupee gained against euro and pound sterling through this week. A euro was exchanged at Rs 109.76 on Friday, compared to Rs 110.45 on Sunday, while a pound sterling was exchanged at Rs 127.70 on Friday, down from Rs 128.80 on Sunday.

Bullion
Despite initial drop, gold price became expensive by Rs 21.50 per gram on Friday, as compared to the price on Sunday. Dealers, who traded the yellow metal at Rs 24,220 per 10 grams on Friday, attributed the rise to the devaluation of currency as well as rise in the international prices of gold.
According to Nepal Gold and Silver Dealers´ Association (NGSDA), Gold was traded at Rs 24,005 per 10 grams on Sunday. As international price dropped, it became as cheap as Rs 23,875 per 10 grams on Tuesday. But it rallied gaining Rs 90 per 10 grams overnight on Wednesday and further soared by Rs 85 on Thursday and Rs 170 per 10 grams on Friday.
The price of silver too soared to Rs 390 per 10 grams on Friday from Rs 377 of Sunday.

Gold Turns Dearer Despite Currency Gain

KATHMANDU, Aug 7: Nepali currency gained against US dollar over this week as greenback lost its value against Indian currency with which Nepali rupee is pegged. Despite drop in value of dollar, gold became expensive in the local market as its international prices jumped during the week.
REPUBLICA

Gold losing lustre

KATHMANDU: The domestic market of gold opened at Rs 24,090 per 10 gram last Sunday but closed at Rs 385 less with gold trading for Rs 23,705 per 10 gram on Friday. According to Nepal Gold and Silver Dealers’ Association (NEGOSIDA), improvement in the American economy has resulted in a fall in the price of gold in the international market and a fall in the trading price of gold in the domestic price as well. Gold was traded for Rs 24,090 per 10 gram on Monday while with an increase of Rs 45 on Tuesday gold priced at Rs 24,135. With a fall of Rs 260, gold dropped to Rs 23,875 per 10 gram on Wednesday, and with another decline of Rs 210 it dropped further to Rs 23,665 per 10 gram on Thursday. Gold closed at Rs 23,705 per 10 gram on Friday.

The price of gold in the international market last Sunday was $951 per ounce which declined to $937 per ounce on Friday, said NEGOSIDA.

Meanwhile, silver opened at Rs 363.50 per 10 gram last Sunday and remained so on Monday. On Tuesday, silver got traded for Rs 366 per 10 gram while with a fall of Rs 3, silver was traded for Rs 363.50 on Wednesday. Silver priced at Rs 356 per 10 gram on Thursday and closed at Rs 358.50 per 10 gram on Friday.

Himalayan News Service

Gold cheaper despite rupee devaluation

KATHMANDU, July 31: Nepali currency depreciated against US dollar this week as greenback gained against Indian currency with which rupee is pegged. Despite devaluation of currency, gold became cheap in the domestic market on Friday compared to Sunday due to decline in its international price. CurrencyNepali rupee slipped 15 paisa against a US dollar over this week and stood at Rs 77.81 per dollar on Friday.Nepal Rastra Bank (NRB), the monetary authority of the country, had fixed Nepali currency at Rs 77.66 per dollar on Sunday. As US dollar slipped against the Indian currency with which rupee is pegged, rupee gained against dollar over the next four days touching as high as Rs 77.40 per dollar on Wednesday. However, rupee spiraled down over the next two days, losing 41 paisa per dollar on Friday, compared to Wednesday.Rupee appreciated against euro and pound sterling by Rs 66 paisa and 26 paisa respectively over the week. On Friday, a euro was exchanged at Rs 109.62 and a pound sterling at Rs 128.14. Going by the open market exchange regime, the rate may vary with the commercial banks.BullionThe price of gold went down by Rs 38.50 per gram in the domestic market this week, as the drop in the international prices of yellow metal dragged down its retail rates. Gold was traded at Rs 23,705 per 10 gram on Friday.According to Nepal Gold and Silver Dealers Association (NGSDA), Gold was traded at Rs 24,090 per 10 gram on Sunday. As international prices rose, it became as expensive as Rs 24,135 per 10 gram on Tuesday. However, the price went down over the next two days, touching Rs 23,665 Thursday. Due to a slight rise in the global rate, its price inched up marginally Friday.Contrary to gold, the price of silver soared to Rs 398.50 per 10 grams on Friday. As Nepal fulfills domestic bullion requirements through imports, any fluctuation in international prices directly impacts the domestic prices.
REPUBLICA