Gold prices in Pakistan fell sharply on Monday, giving buyers brief relief after a prolonged period of record-high rates. The local bullion market followed a downward global trend, leading to a significant single-day correction. Jewellers and investors are now closely watching international signals to assess whether prices may fall further or rebound soon.
According to the All Pakistan Gems and Jewellers Association (APGJA), gold prices declined across the country, reflecting reduced demand in the international market and changing investor sentiment.
Per Tola and 10-Gram Gold Prices Decline
The APGJA reported that the price of 24-karat gold per tola dropped by Rs5,500, bringing the new rate to Rs470,162 in markets nationwide. This drop stands among the largest daily declines recorded in recent weeks.
At the same time, the price of 10 grams of gold fell by Rs4,715. It now stands at Rs403,088. Bullion traders apply these prices uniformly in major markets, including Karachi, Lahore, Islamabad, and Peshawar.
Also Read: Gold Prices Surge Again in Pakistan, Tola Gold Crosses PKR 473,000
Following the decline, jewellers noted a rise in customer inquiries. Many buyers, however, remain cautious. They expect further price swings due to unstable global conditions and domestic currency pressure.
Global Gold Market Sees Strong Correction
International gold prices also moved lower during the same trading session. According to market data cited by the APGJA, the price of gold in the global market fell by $55 per ounce, reaching $4,478 per ounce.
Several global factors contributed to this decline. Stronger signals from the US Federal Reserve regarding interest rates reduced investor appetite for non-yielding assets like gold. At the same time, a firmer US dollar made gold more expensive for holders of other currencies, dampening demand.
Market analysts explain that when bond yields rise, investors often shift funds away from gold. This trend has played a key role in the latest correction.
Why Gold Prices Matter in Pakistan
Gold plays a central role in Pakistan’s economy and social fabric. People widely use it for savings, weddings, and long-term security. Many families prefer gold because it protects wealth during inflation and currency depreciation.
Over the past year, gold prices in Pakistan have surged sharply. In early 2024, prices crossed the Rs300,000 per tola mark for the first time. Since then, volatility has remained high due to a weakening rupee and rising global bullion rates.
According to industry estimates, gold prices in Pakistan have risen by more than 50 percent over the last 12 months, despite periodic declines like the current one.
Expert Opinions and Market Outlook
Despite the latest drop, analysts do not expect a sustained downward trend. Global markets continue to face uncertainty due to geopolitical tensions, inflation risks, and economic slowdowns in major economies.
Experts believe that any new conflict or weak economic data could quickly revive demand for gold as a safe-haven asset. As a result, prices may rebound without much warning.
Local bullion traders advise buyers to track international markets daily. They also recommend spreading purchases over time rather than making large investments during volatile periods.
What the Price Drop Means for Buyers
For consumers planning jewellery purchases or weddings, the current decline offers a short-term opportunity. However, jewellers warn that prices can change quickly, sometimes within hours.
Investors should focus on long-term trends rather than daily movements. Gold continues to serve as a reliable store of value over time, even though short-term volatility remains high.
For now, the Rs5,500 per tola drop has eased some pressure on buyers. Still, the market remains sensitive to global developments, and prices could shift again in the coming days.
