Gold prices in Pakistan moved lower on Saturday, May 9, following a slight decline in the international market, with both gold and silver rates falling in local trading.
According to rates issued by the All-Pakistan Gems and Jewellers Sarafa Association, the price of gold per tola dropped by Rs400 to settle at Rs493,662.
The rate for 10 grams of gold also went down by Rs343, taking the price to Rs423,235.
The latest decline comes a day after gold prices had already fallen sharply on Friday, when the per tola rate dropped by Rs2,700 to close at Rs494,062.
In the global market, gold prices edged down by $4 to reach $4,713 per ounce, including a premium of $20. The softer international trend was reflected in Pakistan’s local bullion market.
Silver prices also recorded a decline on Saturday. Per tola silver became cheaper by Rs12 and was traded at Rs8,513.
Global gold market remains sensitive to geopolitical developments
International gold prices had climbed strongly earlier in the week after reports suggested that the US and Iran were moving closer to a possible agreement, easing concerns about prolonged regional tensions and inflation pressures.
Spot gold had risen 2.8 percent on Wednesday to $4,685.23 per ounce, marking its highest level in more than a week. US gold futures also settled 2.8 percent higher at $4,694.30 per ounce.
Analysts said hopes of a diplomatic breakthrough between Washington and Tehran pushed oil prices lower, reducing fears of rising inflation and aggressive interest rate policies by central banks.
A weaker US dollar also supported gold prices earlier in the week by making the metal more affordable for buyers using other currencies.
Market attention is now turning towards upcoming US economic data, especially the monthly employment report, which investors believe could influence future decisions by the US Federal Reserve on interest rates.
Other precious metals had also posted gains internationally earlier this week. Spot silver rose 6 percent, while platinum and palladium recorded strong increases as well.
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