Karachi, June 16, 2025 – Gold prices in Pakistan dropped on Monday, reflecting downward pressure from global markets as geopolitical tensions between Israel and Iran continued to unfold.
According to market analysts, the decline in gold prices comes amid investor uncertainty and a cautious outlook ahead of the upcoming Federal Reserve policy announcement and the G7 summit.
In the domestic bullion markets, gold prices for 24-karat per Tola fell by Rs700, closing at Rs362,300, down from the previous day’s closing of Rs363,000. Similarly, the prices of 24-karat gold per 10 grams declined by Rs600, settling at Rs311,213.
This latest dip follows a recent peak in gold prices in Pakistan, where rates reached an all-time high of Rs363,700 per Tola on April 22, 2025. Although prices remain elevated due to global economic uncertainty, the latest moderation suggests a temporary cooling in demand.
Experts in Pakistan’s bullion market pointed out that the fall in domestic gold prices was primarily driven by a parallel drop in international prices. In global markets, gold declined by $18 per ounce, closing at $3,414 compared to the last session’s $3,432. Analysts stated that investors are closely watching the implications of the Israel-Iran conflict, while also factoring in potential shifts in monetary policy by the U.S. Federal Reserve.
Market participants in Pakistan also noted that speculation around geopolitical outcomes and global inflation trends are contributing to volatility in gold prices. In times of conflict, gold is typically seen as a safe haven. However, short-term profit-taking and the expectation of stable interest rates have prompted some corrections in pricing.
Despite this decline, gold remains one of the most sought-after investment options in Pakistan, especially amid ongoing economic challenges. Any significant developments on the international front or changes in local economic indicators may once again impact gold prices in the coming days.
For now, gold traders in Pakistan are closely monitoring global cues, including the outcome of the G7 meeting and central bank decisions, to gauge the future direction of gold prices in both domestic and international markets.