Gold prices in Pakistan fell sharply for the second consecutive session on Wednesday, extending the recent correction in the domestic bullion market. The latest decline followed weakness in international gold prices.
According to the All Pakistan Gems and Jewellers’ Sarafa Association (APGJSA), the price of 24-carat gold dropped Rs11,300 per tola to Rs454,036. The price of 10-gram gold also declined by Rs9,688 to Rs389,262.
The latest fall came after gold prices declined by Rs800 per tola on Tuesday. The precious metal had also dropped Rs1,800 per tola on Monday, highlighting a sharp downward movement in the local market over recent sessions.
The decline in gold prices in Pakistan followed another fall in international bullion markets. Spot gold was trading near $4,303 per ounce on Wednesday, while US gold futures for December delivery stood around $4,351 per ounce.
International gold prices came under pressure as the US dollar strengthened and investors increased expectations that interest rates could remain high. Rising oil prices and concerns over inflation also added pressure to the precious metal.
Investors are now watching key US economic data, including August employment figures, for signals about the Federal Reserve’s future monetary policy. Higher interest rates and a stronger dollar often weigh on gold because the metal does not provide a yield.
The Pakistani bullion market generally follows international gold prices, while local rates are also affected by the rupee-dollar exchange rate and domestic demand. The latest decline means gold prices in Pakistan have continued their sharp correction after several recent sessions of losses.
