Gold prices in Pakistan slipped again on Saturday, January 3, extending a weak run at the start of the new year.
The price of gold in the local market fell by Rs4,700 to Rs455,562 per tola, according to the All Pakistan Gems and Jewellers Sarafa Association. This was the fifth decline in six trading sessions this week, with prices rising only once, on Friday.
The rate of 10-gramme gold also moved lower. It dropped by Rs4,030 to settle at Rs390,570.
The fall came a day after gold recorded its first rise of the year. On Friday, January 2, prices climbed by Rs5,700 per tola to reach Rs460,262, offering brief relief to traders after several days of losses.
Silver prices followed the same path on Saturday. The rate slipped by Rs106 to Rs7,756 per tola in the domestic market.
Global prices
Internationally, gold prices have shown signs of recovery after ending last year on a softer note. On Friday, spot gold was trading nearly 2 percent higher at $4,397.66 per ounce by 1102 GMT. Prices had earlier touched a record high of $4,549.71 on December 26, before falling to a two-week low earlier this week.
Analysts say rising tensions between major powers and hopes of interest rate cuts in the US have renewed interest in gold. Lukman Otunuga, a senior research analyst at FXTM, said investors had started 2026 by moving back towards safe assets. He added that expectations of lower US interest rates later in the year were also supporting demand.
Physical demand has also begun to improve. Gold is trading at a premium in major markets such as India and China for the first time in almost two months. Lower prices after the recent pullback have drawn in retail buyers.
Gold had a strong run last year, rising 64 percent in 2025. Analysts link that surge to US rate cuts, global uncertainty, steady buying by central banks and higher investment through exchange-traded funds.
