Gold prices rose in the domestic market today after falling twice the previous day. On Tuesday morning, the Bangladesh Jewellers Association (BAJUS) increased the price of premium-quality gold by Tk 5,424 per bhori. As a result, the price of 22-carat gold now stands at Tk 251,184 per bhori.

Earlier on Monday, gold prices were reduced twice—once in the morning by Tk 6,590 per bhori and again in the afternoon by Tk 5,424. That meant a total drop of Tk 12,014 per bhori in a single day.

Under today’s revised rates, 21-carat gold is priced at Tk 239,753 per bhori, 18-carat gold at Tk 205,519, and gold made under the traditional method at Tk 168,194 per bhori.

Last Thursday, gold prices in Bangladesh jumped by a record Tk 16,213 per bhori, pushing the price of high-quality gold to Tk 286,000—the highest ever in the country’s history.

Gold prices have surged rapidly both at home and abroad over the past five years, especially after the Covid-19 pandemic. In Bangladesh, the price of gold first crossed Tk 100,000 per bhori on July 21, 2023. It then passed Tk 150,000 in February last year, reached Tk 200,000 in October, and crossed Tk 250,000 just last week.

On Thursday, global gold prices climbed above $5,500 per ounce, prompting a hike in local prices. However, as international prices later declined sharply, domestic prices were also reduced. With global prices rising again today, local prices have followed suit.

Gold crossed the $5,000 mark last week mainly due to speculation over whom Donald Trump might appoint as the next chair of the US Federal Reserve. Markets feared he could choose someone more willing to bow to political pressure to cut interest rates, potentially weakening the dollar and increasing inflation. To hedge against these risks, investors turned to gold.

The situation shifted after reports suggested Trump might nominate Kevin Warsh, whom investors view as a relatively “safer” option. Following that news, prices of gold, silver, and platinum fell simultaneously.

Additionally, the CME Exchange in the United States increased margin requirements for trading precious metals, including gold. Higher margins force traders to lock in more capital, leading many to sell off holdings—adding further pressure on prices.

After absorbing these shocks, gold prices in the global spot market rebounded today, rising by $143 to $4,808 per ounce. This rebound has directly influenced the rise in prices in Bangladesh’s market.