Kochi: The gold price hit a new peak in spot markets in the state on Tuesday tracking global trends as the rate per sovereign (8 gm) climbed to Rs 26,800.
The price moved by Rs 200 per sovereign to scale the new high, while the rate per gram was Rs 3,350.
The weakening rupee against the greenback and the worsening of trade disputes between the US and other countries also contributed to the trend.
Agency reports suggested that the safe-haven buying by investors also buoyed up the yellow metal.
The price has moved up by nearly 20 per cent in the global markets in the past year, by $ 18 per troy ounce to $ 1,461.02 on Tuesday.
According to gold merchants, if the present trend persists, the price is likely to reach Rs 27,000-28,000 per sovereign in the near future.
Traders also feel that the demand, especially for ornaments, may move up in the next two weeks with the marriage season beginning in Kerala by the onset of the Malayalam month of Chingam.
In Kerala markets, the price of gold was Rs 22,000 per sovereign in August last year.
