Gold price plunges in Pakistan as global prices fall

KARACHI: Gold prices fell sharply in Pakistan on Monday, with the price of one tola dropping Rs12,800, in line with a steep decline in international prices.

According to the All Pakistan Gems and Jewellers Sarafa Association, the price of one tola of gold fell to Rs438,136 from Rs450,936 a day earlier.

The price of 10 grammes of gold decreased by Rs10,973 to Rs375,631. The price of one tola of silver also declined by Rs325 to Rs6,578.

In the international market, gold fell $128 per ounce to $4,156.

Gold prices in Pakistan had risen by Rs4,700 per tola on Friday, reversing some of the losses recorded during the previous four trading days.

The price of one tola of gold had increased to Rs453,036 from Rs448,336 a day earlier, while 10 grammes rose by Rs4,229 to Rs388,404.

Gold prices had fallen for four consecutive trading days before Friday’s increase, declining by a total of Rs11,900 per tola during that period.

Gold prices are influenced by several factors, including movements in the US dollar, global economic uncertainty, geopolitical tensions and investor sentiment.

Gold is often viewed as a safe-haven asset during periods of economic and geopolitical uncertainty, with changes in demand affecting international prices.

In Pakistan, the international price of gold and the rupee-dollar exchange rate are among the key factors that influence prices in the local bullion market.