Gold prices dip in Kerala, but Bandh spoils customers' chance to cash in
Bharat Bandh prevented customers from taking advantage of this price dip as jewellery shops remained closed across the state.
Bharat Bandh prevented customers from taking advantage of this price dip as jewellery shops remained closed across the state.
Bharat Bandh prevented customers from taking advantage of this price dip as jewellery shops remained closed across the state.
Gold prices in Kerala dropped by ₹480 per sovereign (8 gm) to ₹72,000 on Wednesday, which would have come as a huge relief to customers on any other day. However, the ongoing Bharat Bandh forced jewellery shops across the state to remain shut, leaving buyers unable to benefit from the price dip.
The price of a gram of gold also fell by ₹60 to ₹9,000, according to the All Kerala Gold and Silver Merchants Association (AKGSMA), which sets daily rates based on international market trends and domestic factors.
US President Donald Trump’s latest tariff threats have pushed the US dollar index up by 0.2 per cent, which in turn weighed on gold prices, as a stronger dollar makes the metal more expensive for buyers using other currencies, reducing demand. Investors favoured the US dollar after Trump said he would impose a 50 per cent tariff on imported copper and introduce long-threatened levies on semiconductors and pharmaceuticals.
Following this, gold prices in international markets were trading at $3,285 per ounce, a decrease of 0.4 per cent, according to Reuters.
The price of a gram of 18 karat gold also fell by ₹50 to ₹7,425 while silver prices remained stable at ₹119, according to AKGSMA.
Meanwhile, US investment bank Citi forecasts gold prices to stabilise between $3,100 and $3,500 per ounce in the third quarter, as easing geopolitical tensions in the Middle East and a stronger global growth outlook are expected to weigh in on the prices.