On Saturday, gold prices fell in Pakistan as a result of a correction in the precious commodity caused by a drop in global market prices.
The price of gold (24 carats) declined by Rs 4,000 per tola and Rs 3,429 per 10 grammes to settle at Rs 204,500 and Rs 175,326, respectively, according to data issued by the All-Pakistan Sarafa Gems and Jewellers Association (APSGJA).
A weekly total loss of Rs4,500, or 2.15%, per tola. It’s important to note that the price of the precious metal reached an all-time high of Rs210,500 on Monday and on
The precious metal dropped after posting increases for three straight days amid declining foreign exchange reserves and a weak currency, which will increase the price as Pakistan imports gold to meet its demand.
The State Bank of Pakistan’s (SBP) holding reserves decreased by $592 million to $3,086.2 million in the week ending January 27 as a result of foreign loan payments, reaching their lowest level since February 2014 and barely covering imports for 18.5 days (0.61 months).
Stronger-than-expected US jobs statistics stoked concerns that the Federal Reserve might continue raising interest rates, and gold prices on the global market fell by over 2% on Friday, reaching a more than three-week low.
By 1:40 p.m. ET, spot gold was down 2.6% to $1,863.66 per ounce (1840 GMT). U.S. gold futures decreased 2.8% to $1,876.6 at settlement. The price of gold has dropped by about $100 in only two sessions, marking the worst weekly decline in the metal since early October. Bullion is down 2.5% so far this week.
In the meantime, local silver prices dropped by Rs 100 per tola and Rs 85.74 per 10 grammes, ending at Rs 2,250 and Rs 1,929, respectively.
