Kochi, Tuesday, May 17, 2011: The gold price continued to remain high in the international market on Tuesday. The price of a sovereign of gold (8 grams) is now at Rs 16, 280 with a gram at Rs 2035.

Gold price had touched 16,000 rupees for the first time, on April 16. A rumor of likely chances of crash in American stock market is believed to be the main reason for the sudden surge in price. People in large scale are moving towards more investment in gold, considering yellow metal as a safe investment.

Gold is seen as a safe investment and added to this comes the reduction of the value of rupee in comparison with the dollar.
Kerala has one of the highest consumptions of gold and silver ornaments in the country.

Traditionally, gold had been the most ideal mode of investment among the people of Kerala and also as jewellery.