Karachi, November 1, 2024 – Gold prices in Pakistan saw a significant drop on Friday as rates declined by Rs 2,500 per tola in response to downward trends in the international bullion markets. The 24-karat gold rate per tola ended at Rs 284,700, down from the previous day’s closing price of Rs 287,200. This decrease marks a cooling off from the record high of Rs 287,900 per tola reached on October 30, 2024.
Similarly, the price of 24-karat gold per 10 grams fell by Rs 2,144, closing at Rs 244,084, compared to the previous rate of Rs 246,228 in local markets. The sudden decrease in prices has been attributed to global factors impacting the precious metals market, particularly the recent international price slump.
According to analysts and bullion market experts, the decline in Pakistan’s gold rates reflects a direct response to global market trends. Gold prices worldwide dipped by $25 per ounce, settling at $2,752 from the previous close of $2,777. Experts have noted that the international bullion market has been especially volatile in recent weeks, influenced by escalating tensions in the Middle East, which often drives investor uncertainty and, as a result, fluctuations in gold prices.
The recent fluctuations have come after a prolonged period of upward momentum in global gold prices. Rising geopolitical risks, primarily centered on the Middle East, had previously pushed prices higher as investors turned to gold as a safe-haven asset. However, recent indications of a possible diplomatic de-escalation have temporarily eased demand, triggering a pullback in the markets.
“Gold prices have been reacting sensitively to global events,” said a Karachi-based bullion trader. “The uncertainties due to ongoing tensions have driven prices to fluctuate in recent weeks. However, as soon as there’s a semblance of diplomatic resolution, we see a softening in prices.”
Despite this recent decrease, many investors in Pakistan remain cautious. Gold has historically served as a hedge against inflation and economic instability, making it a popular investment choice in uncertain times. Given the unpredictable nature of global politics, particularly the ongoing developments in the Middle East, experts warn that prices could rebound swiftly if tensions rise again.
For now, however, Pakistani buyers may find temporary relief in the lower rates, especially as the local markets adjust to international cues. With gold’s recent dip, many in the industry anticipate continued fluctuations in the coming days, depending on the geopolitical climate and global market responses.
