Gold prices witnessed a significant decline in both international and domestic markets on Monday, providing relief to buyers after a period of sustained high prices. The decrease comes amid easing global bullion rates and changing investor sentiment in international commodity markets.
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According to the latest market figures, the price of 24-karat gold per tola in Pakistan fell by Rs3,800, bringing the new rate down to Rs429,736 per tola. The reduction follows fluctuations in global precious metal prices that continue to influence the local market.
Similarly, the price of 10 grams of gold declined by Rs3,258, settling at Rs368,429. Local bullion traders attributed the fall to a decline in international gold prices, as Pakistan’s gold market closely tracks global trends while also reflecting movements in the rupee-dollar exchange rate.
In the international market, gold prices dropped by $38 per ounce, with the precious metal trading at $4,073 per ounce. Analysts said easing demand for safe-haven assets, stronger market sentiment in other investment sectors and changing expectations regarding global monetary policy contributed to the decline.
Gold prices have remained highly volatile in recent months due to geopolitical tensions, inflation concerns and uncertainty surrounding global interest rates. Any changes in international economic conditions or financial markets are quickly reflected in Pakistan’s bullion prices.
Jewellers believe the latest decline could encourage consumers who had postponed purchases because of record-high prices. However, they caution that gold remains sensitive to international developments, and prices may continue to fluctuate depending on global economic and political events.
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Investors and traders are expected to closely monitor upcoming economic data and geopolitical developments, which could determine the next direction of bullion prices. Despite the latest decline, market experts say gold continues to be regarded as a preferred long-term investment and a hedge against inflation during periods of financial uncertainty.