Gold price goes down by Rs15,500 in one day

KARACHI: In a significant development, the price of gold in Pakistan experienced a massive decline.

The price of gold witnessed a substantial decrease of Rs15,500, bringing it down to Rs199,500 per tola. Similarly, the price of 10 grammes of gold saw a reduction of Rs13,546, settling at Rs171,039.

This dip in gold prices followed a surge in the previous session. However, on Tuesday, the market saw a reversal in this trend.

Globally, improved risk sentiment and a rebound in bond yields contributed to the drop in gold prices.

At its peak earlier in the day, spot gold reached $1,865.19 per ounce, marking its highest point since September 29.

Nevertheless, it experienced a slight decline, currently standing at $1,856.68 per ounce, down by 0.2 per cent. Meanwhile, US gold futures recorded a 0.3 per cent increase, reaching $1,870.20.

Read more: World Bank urges Pakistan to implement tax on agriculture and real estate

This market behaviour comes amidst anticipation for the upcoming US inflation data later this week.

Monday witnessed a significant uptick in gold prices, rising by 1.6 per cent, the most substantial one-day increase in five months.

This surge was fueled by heightened demand for safe haven investments due to military clashes between Israel and the Palestinian Islamist group Hamas.