Gold prices plunge in Pakistan for second straight day tracking global drop

KARACHI: Gold prices in Pakistan fell sharply for a second consecutive day, tracking a downward trend in international markets and a strengthening US dollar, industry data showed on Tuesday.

The price of 24-karat gold per tola (11.66 grams) decreased by Rs2,500 to settle at Rs434,936, according to the All Pakistan Sarafa Gems and Jewellers Association (APSGJA).

The drop follows a Rs2,400- decline in the previous session, reflecting ongoing volatility in the domestic bullion market.

The price of 10-gram gold also registered a decline, falling by Rs2,143 to Rs372,887.

Market analysts attributed the local slump to a broader correction in global commodity markets, where gold has faced pressure due to a firmer US dollar and stabilising global financial markets, which have diverted investor interest toward alternative assets.

“Local prices are directly mirroring the international market’s downward trajectory,” a Karachi-based commodities analyst said.

Local traders reported a slight uptick in retail interest following the price drop, though overall trading volumes remain below historical averages.

“While the price reduction has brought some buyers back, overall market activity is still sluggish,” a local jeweler said. “However, we expect demand to pick up ahead of the upcoming wedding and festive season, which could spark a recovery in prices.”