Gold Prices See Significant Drop After US Election Result.

Kerala, India: Gold prices have dropped significantly with a decline of Rs 165 per gram and Rs 1,320 per sovereign on Thursday. The current price of gold stands at Rs 7,200 per gram and Rs 57,600 per sovereign.

The international gold price has dropped to $2,658, and the exchange rate of the Indian rupee stands at 84.34. The bank rate for 24-carat gold has also decreased to Rs 78.5 lakh.

Also read| Gold Hits Record High: Prices Soar To Rs 7,440 Per Gram

It was said that the sudden drop in gold prices is attributed to Donald Trump’s presidency and the strengthening of the US dollar.

Additionally, the Federal Reserve’s decision to reduce interest rates and the anticipated 0.25% decrease in interest rates have also been a major reason for the decline.

In 2016, when Trump took office, the international gold price was $1,250. By 2019, it had risen to $1,200-$1,350. However, after the Federal Reserve decided to reduce interest rates in 2019, gold prices began to rise.

If gold prices close below $2,650, they may drop to $2,610-$2,580. However, if prices rise above $2,680, they may reach $2,710. Trump’s presidency is expected to impact gold prices. His policies may lead to fluctuations in the market that may cause gold prices to rise or fall.

On October 30, gold rates reached an all-time high and the 22-carat gold rate increased by Rs 65 per gram to Rs 7,440 and by Rs 520 to Rs 59, 520 per sovereign (8-gram). 18-carat gold has increased by Rs 55 to Rs 6,130 per gram, while silver bullion costs Rs 106, up by Rs 1.

Also read| Gold Price Leap Continues: Reaches Rs 5,8880 Per Sovereign On Saturday

This marks an all-time high for gold prices in India’s domestic market and Investors and consumers are advised to keep an eye on market trends for further fluctuations.

Gold and silver prices fluctuate due to various factors including global demand, currency values, interest rates and government regulations. Global events, such as economic changes and the strength of the US dollar also impact prices.