Sri Lanka, Feb. 3 -- A fresh rally in the global gold market has triggered a sharp spike in gold prices in Sri Lanka, pushing local rates to new highs within a single day.

Driven by a $130 increase in international prices, the cost of gold in the domestic market rose by around Rs. 12,000 today (03). The price of a pound of 24-carat gold climbed to Rs. 380,000, up from Rs. 368,000 yesterday, while a pound of 22-carat gold increased from Rs. 338,000 to Rs. 349,000.

In the international market, gold continued its upward momentum, with the price of an ounce reaching $4,816 today, reflecting strong investor demand amid global economic uncertainty.

Traders say the sustained rise in world gold prices is rapidly being passed on to local market...