KARACHI: Gold prices in local and international market slipped on Monday after hitting weeks-long high, while the market focused on escalating Israel-Iran tensions and the Federal Reserve’s policy meeting this week.

In Pakistan, the price of gold dropped by Rs700 per tola, according to the All Pakistan Sarafa Gems and Jewellers Association.

The new rate for 24-karat gold now stands at Rs362,300 per tola, down from the previous rate. Meanwhile, the price for 10 grams of 24-karat gold fell by Rs600 to Rs310,613.

For 22-karat gold, the price for 10 grams was recorded at Rs284,738, reflecting a decrease of Rs550.

On the other hand, silver prices remained stable, with one tola of silver priced at Rs3,787 and 10 grams at Rs3,246.

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In the international market, gold was down 0.5% to $3,416.48 an ounce after hitting its highest level since April 22 earlier in the session. Prices rose more than 1% on Friday.

“Keep in mind that gold has moved higher over the past several sessions, largely in response to the conflict between Israel and Iran. Today, we’re seeing more of a pullback, likely due to profit-taking after that higher move,” said David Meger, director of metals trading at High Ridge Futures.

PSX sees pullback

Meanwhile, the Pakistan Stock Exchange (PSX) closed with a modest gain of 81 points, or 0.07%, at 122,225 after a volatile session on Monday as investor sentiment remained cautious amid persistent geopolitical tensions and rising international oil prices.

Market participants remained focused on the Monetary Policy Committee (MPC) decision, which eventually met expectations with a status quo on rates, leading to a muted close, Ismail Iqbal Securities said.

Stocks advanced despite geo political risk amid speculations over the central bank’s policy announcement later today, CEO Arif Habib Commodities, Ahsan Mehanti noted.