Gold prices moved lower in Pakistan on Friday, giving some relief to buyers after recent record highs. The drop came as the local market reacted to changing global signals and profit taking.
According to the All Pakistan Gems and Jewellers Sarafa Association, 24 karat gold was sold at Rs507,762 per tola, down Rs21,400 from the previous session. The price of 24 karat gold per 10 gramme also declined by Rs18,347 to Rs435,324.
Meanwhile, 22 karat gold was quoted at Rs399,061 per 10 gramme, showing a similar downward trend in the domestic market.
Silver prices also fell sharply. In the local market, 24 karat silver was sold at Rs7,825 per tola after a drop of Rs1,430. The rate for 10 gramme silver decreased by Rs1,226 to Rs6,708.
Global market shows volatility
In the international market, gold traded near $4,870 per ounce, up about 3.59 percent from the previous session. Despite the rise, the metal remained under pressure after falling a day earlier and was heading towards a second weekly decline due to continued selling.
The recent correction followed a strong rally in January when gold touched historic highs. Prices had climbed due to global tensions, worries about the US Federal Reserve’s independence and strong buying from China. However, easing geopolitical stress has reduced safe haven demand.
Market watchers are also closely following talks between Iran and the US taking place in Oman, which could affect investor sentiment in the coming days.
Weak US labour market data has added another layer of uncertainty. Layoffs in January rose to 108,400, the highest level for the month since 2009. Initial jobless claims increased to 231,000, while private sector hiring came in below expectations.
These signals have raised hopes that the US Federal Reserve may cut interest rates later this year, with many investors viewing June as a possible starting point. Lower rates often support gold, but for now the market remains cautious.
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