Karachi, May 25, 2024 – The price of gold in Pakistan continued its downward trajectory on Saturday, falling for the fifth consecutive day. This decline mirrors the recent trend in international markets.
The price of 24-karat gold per tola (11.66 grams) decreased by Rs 200, closing at Rs 240,000. This is down from the previous day’s price of Rs 240,200. The market has seen a notable drop from its peak of Rs 250,400 on May 20, 2024, marking a significant decline over the past five trading sessions.
Similarly, the price of 24-karat gold per 10 grams fell by Rs 172, settling at Rs 205,761, compared to Rs 205,933 the previous day in the local market.
Analysts attribute this sharp decline in domestic gold prices to significant drops in the international market. Globally, gold prices fell by $5, closing at $2,333 per ounce, down from $2,338 the previous day.
Market analysts at the bullion exchange note that the international market’s volatility is primarily due to multiple economic factors. These include fluctuations in the US dollar, changes in global interest rates, and a shift in investor sentiment towards riskier assets. These international dynamics directly impact local markets, leading to the observed decline in gold prices in Pakistan.
The current trend has left local investors and jewelers cautious. The continuous drop in prices affects both investment strategies and consumer behavior. Jewelers in Karachi report a noticeable decline in gold purchases, with buyers adopting a wait-and-see approach in anticipation of further price reductions.
Despite the downward trend, experts suggest that gold remains a relatively safe investment in the long term. It offers a hedge against inflation and currency depreciation. They recommend that potential investors monitor the market closely and consider long-term perspectives rather than reacting to short-term fluctuations.
As the international market remains unstable, the future of gold prices in Pakistan is uncertain. Market watchers are keenly observing global economic indicators and policy decisions by major economies that could influence the price movements of precious metals.
In the meantime, stakeholders in the gold market are bracing for further developments, hoping for stabilization in the near future that could restore confidence among investors and consumers alike.
