Gold prices in Pakistan have continued their downward trajectory for the fifth consecutive day, reflecting a similar trend in the international bullion market. In the previous week, the cost of gold per tola in the local market dropped by Rs2,500, settling at Rs300,500. This significant decline follows another major decrease of Rs3,300 per tola recorded on Thursday, indicating continued volatility in gold prices.
According to rates shared by the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA), 10 grams of 24-carat gold also sharply declined by Rs2,143, to Rs257,639. The ongoing slump in gold prices has raised concerns among investors and traders who closely monitor global market trends.
Gold Prices Decline in International Market
The downward movement in local gold prices aligns with a decline in the international bullion market. On Friday, the international price of gold per ounce fell by $24, bringing it to $2,863. This drop comes after a series of declines in global gold prices over the past few days. The market had already seen a slight decrease earlier, with the international gold rate per ounce slipping by $6, reaching $2,857.
The international market remains under pressure due to various economic factors, including fluctuations in the U.S. dollar, interest rate expectations, and global economic uncertainty. Analysts suggest that investors are moving towards other assets, reducing demand for gold and consequently affecting its price worldwide.
Silver Prices Also Decline
In addition to gold, silver prices have also been affected by the ongoing market downturn. The price of silver per tola in Pakistan dropped by Rs64, settling at Rs3,250. Similarly, the cost of 10 grams of silver fell by Rs9, bringing it down to Rs2,777. The decrease in silver prices further highlights the broader decline in the precious metals market.
Market Response and Future Projections
Market analysts believe that global economic trends and the strengthening of the U.S. dollar influence the recent decline in gold prices. Gold is often considered a safe-haven asset during times of economic uncertainty, but recent developments suggest that investors are shifting their focus toward alternative investment options.
Financial experts predict that gold prices may continue to fluctuate in the coming days, depending on international market movements and economic policies. The Federal Reserve’s stance on interest rates and inflation control measures will play a crucial role in determining the future trajectory of gold prices.
Impact on Investors and Buyers
The decline in gold prices is seen as a mixed signal for different market participants. For investors and traders who have previously purchased gold at higher rates, the drop in prices could mean potential losses.
However, for those planning to buy gold for investment or jewelry purposes, the lower rates provide an opportunity to make purchases at relatively affordable prices.
Final Thoughts
Gold prices in Pakistan have been on a downward trend, mirroring global market conditions. The significant drop of Rs2,500 per tola on Friday, following a Rs3,300 decrease on Thursday, reflects ongoing uncertainty in the gold market.
With international gold prices also witnessing a decline, the local market remains under pressure. Investors and traders will closely watch economic indicators to assess the future movement of gold prices in the country.