Gold price drops sharply, lottery for gold buyers, long-awaited rate may reach soon

THIRUVANANTHAPURAM: There was a sharp decline in the price of gold in the state today. The price of a sovereign of gold of 22-two carat gold has fallen by Rs 480 today alone. With this, the price of a sovereign is Rs 65,800. There was a drop of Rs 60 in the price of a gram taking to Rs 8,225. The price of gold has fallen below Rs 66,000 after two weeks.

The price of gold, which had been increasing day by day, started falling from April 3rd. The price of a sovereign was then Rs 68,480. Decreased by Rs 1,280 the next day. Since then, the price of a sovereign has fallen by more than Rs 2,000. This is a lottery for those going to buy gold. This trend is likely to continue in the coming days. Many assess that the price of a sovereign will fall below half a lakh.

Economic observers said that there is a possibility of a 38 percent fall in the price of gold. The upcoming global political situation and the market trend are interrelated, so the price is expected to fall sharply soon.

Earlier, even if you pay Rs 70,000, you could not get a sovereign gold. Inflation, conflicts between countries and the economic instability it has created are factors influencing the increase in the price of gold. The feeling of a setback in the economic sector in countries including the United States has deterred investors from other transactions, and a large part of them saw gold as a safe investment. This has caused the price of gold to rise significantly.

The policies adopted by Donald Trump after becoming the US president have also caused concern in the market. All this has attracted more people to gold. However, economic observers said some other reasons will lower the price of gold. The main reason they point to is that the supply of gold is increasing very rapidly.