Gold prices in Pakistan saw a big drop on Thursday, tracking losses in the international market as global pressure on bullion continued to build.
In the local bullion market, the price of gold per tola dropped by Rs24,300 to settle at Rs499,462, according to rates issued by the All-Pakistan Gems and Jewellers Sarafa Association. The decline marked a clear shift from the previous session, when prices had remained unchanged at Rs523,762.
The price of 10-gram gold also moved lower, falling by Rs20,833 to Rs428,208. Traders said the drop reflects strong global cues, with international prices coming under sustained pressure.
Silver followed a similar trend in the domestic market. The price per tola fell by Rs760 to Rs7,734, showing that weakness was not limited to gold alone.
Global pressure weighs on gold
In the international market, gold prices slipped to their lowest level in more than a month. Spot gold was recorded near $4,764 per ounce, while US gold futures for April delivery also declined.
Analysts linked the fall to a stronger US dollar and signals from central banks that interest rates may remain high for longer. A firm dollar makes gold more expensive for buyers using other currencies, which often reduces demand.
Market sentiment has also shifted in recent weeks. Since late February, gold has lost more than 9 percent, with investors adjusting their positions amid rising uncertainty.
Energy markets have added to the pressure. Oil prices climbed above $110 per barrel following rising tensions in the Middle East, which has complicated the outlook for inflation. Central banks, including the Federal Reserve and the Bank of Canada, have warned that higher energy costs could keep inflation elevated.
This has reduced expectations of early rate cuts, which had earlier supported gold prices. Higher interest rates tend to weigh on gold, as the metal does not offer any yield.
Despite ongoing geopolitical risks, investors appear to be moving cautiously, with some shifting funds away from gold and into other assets.
Other precious metals also declined globally, with silver, platinum and palladium all recording losses during the session.
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