Gold Price Plunges by Rs. 8,500 Per Tola in Three Days

The gold rate in Pakistan has dropped sharply over the past three days, falling by Rs. 8,500 per tola and raising questions among investors and jewelers alike. This significant dip reflects both local market adjustments and global price movements, affecting buyers and traders across the country.

Gold Price Continues Downward Trend

On Saturday, the price of 24 karat gold fell by Rs. 300 per tola. It was traded at Rs. 356,400, down from Rs. 356,700 the previous day, according to data from the All Pakistan Sarafa Gems and Jewelers Association. This slight drop added to the much steeper decline seen earlier in the week.

Over the previous two days, the price had already decreased by Rs. 8,200 per tola. Combined with Saturday’s fall, this brought the total three-day reduction to Rs. 8,500 per tola—a substantial shift in such a short span.

Gold Prices per Gram Also Slide

The trend was consistent across other gold measures. The price of 10 grams of 24 karat gold dropped by Rs. 257, settling at Rs. 305,555. It had previously stood at Rs. 305,812.

Similarly, 10 grams of 22 karat gold saw a decrease of Rs. 235. Its rate fell from Rs. 280,337 to Rs. 280,102. This marked yet another signal that the domestic gold market was closely reacting to broader trends, both internal and external.

Silver Rates Also Take a Hit

The fall wasn’t limited to gold alone. Silver rates followed a similar pattern. Per tola silver dropped by Rs. 60, now priced at Rs. 3,963. Meanwhile, 10 grams of silver went down by Rs. 52 to Rs. 3,397.

Market experts suggest that declining investor interest, reduced demand, and external price pressure played a role in the dip in both precious metals.

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International Market Pressures Add to Local Decline

International gold prices also reflected a downward shift. The global rate for gold decreased by $3, moving from $3,340 to $3,337. Though the change might seem minor, it sent a strong signal to local markets, already dealing with reduced buying power and fluctuating exchange rates.

Silver prices in the international market dropped by $0.60 as well, settling at $38.14 compared to the earlier rate of $38.74.

These global reductions likely contributed to the sharp price changes seen in Pakistan’s domestic market, where jewelry demand often mirrors international shifts.

Jewelers and Investors React

Jewelers across the country are closely watching the trend. Many believe the sharp drop could boost short-term buying, especially ahead of the wedding season. However, they also warn of continued volatility due to unpredictable global economic conditions and currency fluctuations.

For investors, the recent drop presents both a challenge and an opportunity. Some see it as a chance to buy at lower rates, hoping for a rebound in the near future. Others, however, remain cautious, noting the unstable global economy and shifting commodity markets.

Possible Causes Behind the Sudden Decline

Analysts point to several factors behind the fall. A stronger rupee, changing investor behavior, falling international prices, and reduced local demand have all combined to push gold prices down.

Moreover, the strengthening of the US dollar and global expectations around interest rate policies may continue to weigh on gold in the coming weeks. In Pakistan, where inflation concerns are ongoing, any further fluctuations in the dollar-rupee exchange rate could significantly affect local prices.

What to Expect in the Coming Days

Market watchers expect the gold rate in Pakistan to remain under pressure in the short term. With global economic uncertainty and domestic financial challenges, the precious metals market is likely to stay volatile.

For now, buyers and investors are cautiously navigating this unstable phase, keeping a close eye on both local updates and international cues. The coming days will reveal whether this sharp three-day decline signals a longer downward trend or merely a temporary adjustment in a turbulent market.