Gold Prices in Pakistan Fall Rs 1,000 Amid Global Decline

Gold Prices in Pakistan Fall Rs 1,000 Amid Global Decline

Karachi, October 8, 2024 – Gold prices in Pakistan dropped by Rs 1,000 per tola on Tuesday, following a decline in the international bullion markets. The price of 24-karat gold per tola ended at Rs 274,700, down from the previous day’s closing of Rs 275,700 in the local market.

This decrease comes after gold prices hit a record high of Rs 277,000 per tola on September 26, 2024. Since then, the precious metal has seen a volatile trend, with fluctuations driven by both domestic demand and international market conditions.

Similarly, the price of 24-karat gold per 10 grams also experienced a decline, falling by Rs 857 to close at Rs 235,511, down from Rs 236,368 on Monday. The consistent fall in prices has been attributed to global factors, with the international gold market experiencing a drop in prices as well.

Experts in the local bullion market linked the fall in Pakistan’s gold prices to a corresponding decrease in international markets. On Tuesday, gold prices in the international market fell by $9 per ounce, closing at $2,647, down from $2,656 the previous day. This international drop has directly impacted local markets, as Pakistan’s gold prices are closely tied to global trends.

The recent volatility in the gold market has kept investors on edge. Although gold reached historic highs in late September, its recent decline has raised concerns over the stability of the precious metal’s value in the near term. Internationally, the decline is attributed to a strengthening US dollar and a slight increase in bond yields, which has reduced the appeal of gold as a safe-haven asset.

Despite the drop in prices, market analysts remain divided on the future trajectory of gold. While some anticipate a further decline, especially if the global economy continues to stabilize and bond yields rise, others believe that economic uncertainty, geopolitical tensions, and inflation concerns may once again drive up the demand for gold in the medium term.

In Pakistan, local demand for gold, particularly during wedding seasons and festivals, continues to play a significant role in price fluctuations. However, with prices closely aligned to international markets, any further shifts in global gold trends are expected to directly impact the local market.

As of now, traders and consumers alike are keeping a close watch on international factors to determine the future course of gold prices in Pakistan.