Gold prices witness major drop in Pakistan

KARACHI: According to data shared by the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA), the price of gold dropped by a steep Rs14,000 during the day, bringing the rate of one tola to Rs416,362.

Similarly, the price of 10 grams of gold fell by Rs12,003 to settle at Rs356,963.

Second consecutive day of decline

Tuesday marked the second straight session of decline in domestic bullion prices. A day earlier, gold had slipped by Rs3,300 per tola to close at Rs430,362. Traders said the recent volatility reflects both the international price movement and fluctuations in the rupee against the dollar.

In the international market, gold prices initially fell sharply, with the rate touching $3,940 per ounce (including a $20 premium), showing a loss of $140. However, later in the day, prices managed to recover slightly as a weaker dollar and expectations of further interest rate cuts by the US Federal Reserve lifted sentiment.

By 0141 GMT, spot gold had climbed 0.7 percent to $4,009.39 per ounce after plunging more than 3 percent on Monday, its lowest level since October 10. US gold futures for December delivery edged up 0.1 percent to $4,022.10 per ounce.

Silver also loses value

Silver prices mirrored the trend in gold, falling by Rs173 to reach Rs4,924 per tola in the local market.

Market analysts said investors are still cautious, watching how global economic signals play out amid mixed cues from the US-China trade talks and the Federal Reserve’s policy outlook.

Despite the brief rebound globally, the local bullion market remains under pressure, with buyers holding back amid uncertainty over price direction.