Gold Rates In Kerala Fall By Rs 600, On Weak Sentiments

Gold prices in Kerala dropped in line with extremely weak global sentiments. Gold for 22 karats in Kerala was seen trading at Rs 4,700, while gold for 24 karats in key cities of Kerala like Trivandrum, Cochin, Calicut and Thrissur District were also lower at Rs 5123.

While gold for 22 karats in Kerala fell by Rs 600, the drop was slightly more in the 24 karats space at Rs 700 per 10 grams. One of the prime reasons for the fall in prices was weakish global sentiments. Gold across the globe retreated on worries that the US Fed would continue its aggressive rate hikes.

In the global markets, the precious metal saw a dip of almost $6 and the metal was last quoting at Rs 1736 a dollar on fears that the US Fed would hike interest rates faster than anticipated. When interest rates rise, gold tends to fall as investors take shelter in sovereign gold bonds.

Gold prices in Kerala have now drifted from Rs 48,150 per 10 grams seen in on Aug 14 to Rs 47,000 per 10 grams as quoted by Jewellers in the state of Kerala as on Aug 23, 2022. A further dip in prices could not be ruled out, if the US Fed aggressively hikes interest rates going forward.