Kochi: Gold prices staged a swift recovery on Tuesday, climbing ₹480 per sovereign after a steep fall a day earlier, once again moving closer to the psychologically significant ₹99,000 mark. The price of one sovereign (8 grams) of gold now stands at ₹98,640, while the per-gram rate rose by ₹60 to ₹12,330.
The rebound comes after gold witnessed a sharp correction on Monday, when prices plunged by ₹1,120, surprising the market just as rates seemed poised to breach the ₹1 lakh level. On the previous day, gold had touched an all-time high of ₹99,280 per sovereign, before slipping to ₹98,160 amid profit booking. The record surge followed two consecutive hikes of over ₹1,000.
Market experts attribute the recent volatility to a mix of global and domestic factors, including the rupee’s slide to record lows against the US dollar and the US Federal Reserve’s decision to cut key interest rates, both of which typically boost demand for gold.
Despite the fluctuations in the official rates, the effective retail price of gold has already crossed ₹1 lakh in Kerala once making charges and taxes are factored in, underlining the precious metal’s strong upward momentum.
