Local Market Sees Significant Drop
After a brief rise, gold prices in Pakistan witnessed a major decline on Tuesday, following shifts in the international market. According to the All Pakistan Sarafa Gems and Jewellers Association, the price of 24-karat gold fell by Rs3,500 per tola, bringing it down to Rs420,362. In terms of 10-gram units, 24-karat gold decreased by Rs3,001 to Rs360,392, while 22-karat gold fell by Rs2,859 to settle at Rs330,263. The sharp drop has raised concern among local investors, as precious metals often serve as a key hedge against inflation and currency fluctuations.
Global Gold Prices and Investor Sentiment
The decline in Pakistan mirrors trends in the international gold market. Globally, gold prices dropped by $35, reaching $3,980 per ounce. Analysts attribute the fall to strengthening global currencies and cautious investor sentiment, which have dampened demand. Market watchers are keeping a close eye on currency movements, geopolitical developments, and changes in international interest rates, all of which continue to influence precious metal prices worldwide.
Silver Follows Suit
Silver prices in Pakistan also experienced a downward trend. The rate of 24-karat silver per tola declined by Rs130 to Rs5,022, while 10 grams of silver were being sold for Rs4,305. Analysts point out that fluctuations in the interbank exchange rate, combined with uncertainty in global demand, are driving these consistent declines. Investors are expected to monitor both local currency movements and global trends closely to make informed decisions in the coming days.
The recent dip in gold and silver prices highlights the ongoing volatility in Pakistan’s precious metals market, reflecting the interplay of domestic economic conditions and international market forces. Market participants are urged to stay alert as further adjustments are anticipated in response to global and local developments.
