In a significant market shift, the price of gold in Pakistan experienced a sharp decline on Tuesday, bringing relief to potential buyers but concern to investors. The All Pakistan Sarafa Gems and Jewellers Association reported a substantial decrease in the value of the precious metal across all measures.
Major Drop in Local Gold Rates
The most notable change was recorded in the price of 24-karat gold, which fell by Rs10,700 per tola. After this adjustment, it was being sold at Rs459,462 per tola, a marked drop from the previous trading day's rate of Rs470,162.
For those purchasing smaller quantities, the price of 10 grams of 24-karat gold decreased by Rs9,174. Its new price settled at Rs393,914, down from Rs403,088. Similarly, 10 grams of 22-karat gold became cheaper by Rs8,410, now available at Rs361,100 compared to Rs369,510.
International Market Follows Suit
The downward trend was not confined to Pakistan's domestic market. Globally, the price of gold also took a hit. International gold prices fell by $107 per ounce, moving down to $4,371 from $4,478.
The silver market mirrored this decline. Within Pakistan, the price of silver per tola decreased by Rs145 to Rs7,930. The rate for 10 grams of silver went down by Rs125 to Rs6,798. On the world stage, international silver prices dropped by $1.45 to $75.55 per ounce.
Market Context and Leadership Change
This substantial price movement comes as the industry sees a change in leadership. The report from the association coincided with the election of Azeem Hussain Siddiqui as the new president of ICMA (Institute of Cost and Management Accountants of Pakistan). Market analysts often watch such financial appointments for potential impacts on economic policy and market sentiment.
Fluctuations in gold and silver prices are closely monitored in Pakistan, where precious metals are not only a key investment vehicle but also integral to cultural traditions and weddings. Significant drops can stimulate buying activity among jewellers and individual consumers, while investors may reassess their portfolios.
