KARACHI: Gold prices in Pakistan recorded a sharp decline on Tuesday, with the price of the precious metal falling by more than Rs4,000 per tola in line with a downturn in the international market.
According to the All Pakistan Gems and Jewellers Association (APGJA), the price of 24-karat gold per tola dropped by Rs4,300, bringing the new rate down to Rs427,436.
The association said the price of 10 grams of 24-karat gold also decreased by Rs3,687, settling at Rs366,457.
Meanwhile, in the global bullion market, the price of gold fell by $43 per ounce, bringing the international rate to $4,050 per ounce, contributing to the decline in domestic prices.
Silver prices also declined in the domestic market. The price of silver per tola fell by Rs174 to Rs6,223, while the price of 10 grams of silver dropped by Rs149, settling at Rs5,335, according to the All Pakistan Gems and Jewellers Association.
Gold has traditionally been regarded as a safe-haven investment, with its value typically rising during periods of inflation, political uncertainty and economic instability.
For centuries, gold has served as both a store of wealth and a form of currency. Investors often turn to the precious metal when confidence in other asset classes weakens, making it a preferred hedge against market volatility.
More read, Gold prices jump Rs4,000 per tola in Pakistan
Last year, Pakistan revised its mechanism for determining domestic gold prices. Under the new formula, the local gold price is set at $20 per ounce above the prevailing international market rate, reflecting adjustments made by the country’s bullion pricing system.
