Gold Price Sees Dip in Pakistan Amid Global Market Shift

The gold price in Pakistan recorded a slight drop on Saturday, reflecting changes in both local and global markets. Investors and jewelers tracked the movement closely as the decline created ripples across commodities trading. While the fall was modest, it added to the cautious sentiment already prevailing among buyers.

Local Gold Price Movement

According to the All Pakistan Sarafa Gems and Jewellers Association, the rate for 24-karat gold per tola fell by Rs200, settling at Rs386,300. The drop, though minor, shifted buying patterns in local markets.

Similarly, the price of 10 grams of 24-karat gold slipped by Rs172, reaching Rs331,189. Traders noted that the adjustment reflected both international price movements and fluctuations in the local currency.

Global Gold Market Update

The international gold market also recorded a dip. Prices dropped by $2 per ounce, with gold now valued at $3,643 globally. The decline aligned with recent market corrections influenced by investor strategies, currency trends, and interest rate expectations.

Experts said the global shift, while small, showed how sensitive gold remains to geopolitical uncertainty and monetary policies across major economies.

Silver Prices Mirror the Trend

Alongside gold, silver prices also declined in Pakistan. The rate of 24-karat silver per tola dropped by Rs13 to Rs4,443. For 10 grams, the price was adjusted accordingly, reflecting the same downward pressure.

Analysts observed that silver often mirrors gold’s movements, though its industrial demand adds another layer of complexity to its price trajectory.

Read: Bears Grip PSX as KSE-100 Index Suffers Sharp Decline

Impact on Jewelers and Buyers

Jewelers in Pakistan reported a mixed response from buyers. While some customers saw the fall as an opportunity to purchase at slightly lower rates, others remained cautious, expecting further adjustments.

Wedding season demand, traditionally strong in Pakistan, has also influenced buying trends. Many jewelers said that while sales picked up slightly after the reduction, overall activity stayed moderate.

Currency Factor in Pricing

The movement in gold price is not only tied to international rates but also to the performance of the Pakistani rupee. Even a slight depreciation or appreciation of the rupee against the dollar can amplify the effect of global price changes.

In this case, traders highlighted that the modest drop reflected both the global correction and relative stability of the local currency in recent days.

Investor Sentiment

Gold has long been considered a safe haven for investors. The recent decline has raised questions about whether global investors are shifting toward other assets such as equities or bonds.

In Pakistan, many small-scale investors continue to see gold as a long-term store of value, especially in times of inflation and currency uncertainty. Market observers said the current dip may not significantly change this sentiment but could encourage buyers to wait for further corrections before investing heavily.

Seasonal Demand and Festive Buying

Seasonal factors also play a crucial role. With upcoming religious and cultural events, jewelers expect demand to rise regardless of price movements. For many families, gold remains an essential purchase for weddings, dowries, and festive occasions.

This cultural attachment often cushions the market from steep drops in demand, even when prices are high. The latest decline, however, may provide a slight boost for buyers who were previously holding back.

Broader Economic Context

Globally, gold prices remain tied to inflation trends, central bank policies, and geopolitical developments. The modest $2 decline per ounce reflects temporary corrections rather than a long-term shift.

In Pakistan, the adjustment serves as a reminder of how international market trends flow into domestic pricing structures. Local jewelers, traders, and investors closely monitor these shifts, as they directly affect consumer decisions.