By Our Correspondent
KARACHI : Gold prices in Pakistan continued their downward trajectory on Wednesday, recording losses for the fourth consecutive trading session as persistent weakness in international bullion markets weighed heavily on domestic prices. The sustained decline has provided temporary relief for jewellery buyers while prompting investors to reassess their positions in the precious metals market amid shifting global economic conditions.
According to the All Pakistan Gems and Jewellers Sarafa Association (APGJSA), the price of gold fell by Rs4,700 per tola, bringing the domestic rate down to Rs430,236. The price of 10 grams of gold also declined by Rs4,029, settling at Rs368,858 after tracking losses in global markets.
The latest fall follows a sharp correction in international bullion prices, where gold dropped by $47 per ounce to $4,078. Analysts say weaker global demand, changing investor sentiment and expectations regarding monetary policy in major economies have continued to influence the international gold market.
Silver prices also remained under pressure alongside gold. The price of silver per tola declined by Rs138 to Rs6,421, while the rate for 10 grams slipped by Rs119 to Rs5,504, reflecting the broader weakness across precious metals.
Market experts noted that bullion prices have remained volatile throughout the week as investors closely monitor economic indicators from the United States and other major economies. Expectations regarding inflation, interest rates and central bank policies continue to influence investment decisions in commodity markets.
Gold is traditionally considered a safe-haven asset during periods of economic uncertainty. However, improving confidence in financial markets and expectations of stable monetary policies have reduced demand for precious metals in recent trading sessions.
The domestic market has mirrored international trends, with local prices adjusting according to changes in global bullion rates and fluctuations in the exchange rate. Pakistan’s gold market relies heavily on international pricing, making domestic rates highly sensitive to developments abroad.
Jewellers believe the recent decline could encourage consumers who had postponed purchases due to record-high prices earlier this year. Wedding season demand and investment buying are expected to increase if prices continue to soften over the coming weeks.
Investors, however, remain cautious as bullion markets have experienced sharp fluctuations in recent months. Financial analysts warn that geopolitical developments, changes in U.S. interest rate expectations and global inflation data could quickly reverse the current downward trend.
The latest decline follows consecutive losses earlier in the week. On Tuesday, gold prices in Pakistan fell by Rs2,500 per tola after international bullion dropped by $25 per ounce. Silver also recorded notable losses during the same trading session.
Monday’s market had already signaled weakening momentum, with gold declining by Rs2,400 per tola as investors reacted to mixed global economic data. The downward trend had begun over the weekend when bullion prices softened following renewed uncertainty surrounding international financial markets.
Bullion dealers say customers remain divided between those taking advantage of lower prices and investors waiting for further declines before making purchases. The market continues to witness cautious trading as buyers seek clarity on future price movements.
Financial experts believe gold will remain sensitive to global developments, particularly decisions by major central banks, movements in the U.S. dollar and geopolitical tensions that traditionally influence demand for safe-haven assets.
While the current correction has eased domestic prices from recent highs, analysts caution that bullion markets remain highly unpredictable. Any significant economic or political development could quickly alter investor sentiment and trigger renewed volatility in gold and silver prices worldwide.
Market participants will continue monitoring international bullion trends over the coming days as they assess whether the current decline represents a temporary correction or the beginning of a broader shift in precious metals prices.
