Nepal Gold Prices Plunge by Rs 4,500 Per Tola Amid Fed Rate Hike Expectations

The price of gold in Nepal's domestic market declined by Rs 4,500 per tola (11.6638 grams) last week.

According to the Federation of Nepal Gold and Silver Dealers' Association (FENEGOSIDA), the market price of gold decreased from Rs 303,100 to Rs 298,600 per tola when the market closed the previous week.

The price of gold inclined on Sunday with an addition of Rs 2,100, but declined for the remaining five days. The largest decline was seen on Thursday at Rs 3,200.

The decline in gold prices was attributed to the Federal Reserve's signals towards increasing interest rates, which bolstered rate hike expectations and powered the US dollar to two-month highs.