International bullion prices weaken as 24-karat gold falls to Rs434,936 per tola

KARACHI: Gold prices in Pakistan extended their downward trend on Monday, with the precious metal falling Rs2,500 per tola, taking the cumulative decline over the past two trading sessions to Rs4,900, as weaker international bullion prices weighed on the domestic market.

According to the All Pakistan Gems and Jewellers Association (APGJA), the price of 24-karat gold settled at Rs434,936 per tola, down from Rs437,436 recorded in the previous trading session.

The price of 24-karat gold per 10 grams also declined by Rs2,143 to Rs372,887, compared with Rs375,030 a day earlier.

Two-Day Decline Reaches Rs4,900

Monday’s decline followed another sharp fall in the previous trading session, bringing the total decrease in domestic gold prices to Rs4,900 per tola over the last two trading days.

The continued weakness reflects subdued sentiment in both local and international bullion markets.

International Gold Prices Weaken

In the international market, spot gold fell by $25 per ounce to $4,125, down from $4,150 in the previous session.

Market analysts attributed the decline to easing demand for safe-haven assets as investors shifted their focus towards riskier investments amid improving global market sentiment.

Gold prices typically come under pressure when geopolitical concerns ease and expectations for global economic growth improve.

Outlook for Gold Market

Analysts said movements in Pakistan’s gold market will continue to be influenced by international bullion prices and fluctuations in the rupee-dollar exchange rate.

Traders are also closely monitoring global economic data, central bank policy expectations and geopolitical developments, which are expected to remain the key drivers of gold prices in the coming days.

Despite the recent decline, market participants believe bullion prices could regain momentum if global uncertainty increases or investors return to safe-haven assets.