The per tola price of 24 karat gold decreased by Rs3100 and the precious metal was sold at Rs204,200 on Tuesday against its sale at Rs207,300 the previous day, All Sindh Sarafa Jewellers Association reported.
The price of 10 grams of 24 karat gold also decreased by Rs2658 to Rs175,068 from Rs177,726, whereas the price of 10 grams 22 karat gold went down to Rs160,480 from Rs162,916. The price of per tola silver decreased by Rs50 to Rs2,200 whereas that of ten-gram silver went down by Rs42.86 to 1,886.14 respectively. The price of gold in the international market dipped by US$14 to $1968 against its sale at $1982, the association reported.
Gold plunged in line with the dollar’s value (in Pakistan) as the country meets almost all its gold demand through imports, and traders follow its international price in setting rates in the country. Jewellers import the metal against the US dollar and UAE dirham before converting its price into rupees. The association also mentioned that the price of gold is Rs13,000 per tola “undercost” in Pakistan, as compared to the Dubai market, showing that the Pakistani gold market was currently cheaper than the global. In the international market, gold continued to decline for the second day after rising above $2,000 an ounce in the last session, as investors turned their attention from the banking crisis to the US Federal Reserve’s interest rate decision. The per-ounce price settled at $1,968 after a decline of $14. The metal had hit $2,009.59 an ounce on Monday, its highest since March 2022 but soon started to retreat. However, there is some caution in the market now ahead of the Fed rate decision. Bullion has gained over $100 in the international market after the collapse of US-based Silicon Valley Bank earlier this month, as investors scrambled for the safe haven.
