First in Kerala's history! Gold prices drop by Rs 1520 after hitting record highs

THIRUVANANTHAPURAM: In a big surprise, the gold price dropped from record highs in Kerala on Saturday. The price of one sovereign of gold dipped by Rs 1520 today. The price of one gram of gold also dropped by Rs 190 to reach Rs 6,570 per gram. One sovereign of gold in Kerala costs around Rs 52,560. This is the first time in the state's history that the gold prices have fallen by this big margin. Before this, it had registered a fall as low as Rs 150 per gram.

The price of 18-carat gold fell by Rs 150 to reach Rs 5,470 per gram. Silver prices also fell by Rs 3 to reach Rs 96 per gram. The fall in gold prices is due to China's sudden decision to halt buying gold after 18th months of continuous buying to add to their strategic reserves. The improved economic condition of the US is also cited to be a factor behind the fall in price.

As big as 2.72 lakh new jobs were created in the US last month; an improved number considering the expected 1.85 lakh new jobs. With this, the international gold price fell by 83 dollars to reach 2,293 dollars per ounce. This has led to a fall in prices in India as well. Yesterday, gold prices in the national market fell by Rs 1,200 to reach Rs 72,000 per 10 grams.