Kochi: Gold prices skyrocketed to a new record in Kerala on Monday. The price of one sovereign of gold crossed Rs 47,000. While the price of one gram increased by Rs 40, the price of one sovereign rose by Rs 320 during the day.
The trade is currently progressing at the rate of Rs 5,885 per gram and Rs 47,080 per sovereign of gold. The two-day trading had ended at Rs 5,845 per gram and Rs 46,760 per sovereign, after a rise of Rs 75 and Rs 600 respectively. Today’s price has surpassed this record price.
The international gold price is also at an all-time record. Gold prices hit all-time highs above $2,100 per ounce on Monday as Federal Reserve Chair Jerome Powell’s remarks elevated traders’ confidence that the US central bank could cut interest rates early next year.
Spot gold was up 0.6% at $2,083.81 per ounce by 0627 GMT, after surging to an all-time high of $2,111.39 earlier. US gold futures rose 0.7% to $2,103.30.
Lower rates reduce the opportunity cost of holding a non-interest-bearing bullion.
Backing market sentiment, data last week pointed out to cooling inflationary pressures, a gradually easing labour market, with Fed Governor Christopher Waller flagging a possible rate cut if inflation continues to decline.
(With Reuters inputs.)