The price of gold in Pakistan increased for a second consecutive day on Thursday to reach Rs 425,436 per tola. Local rates continue to climb. However global market changes indicate that a downward trend might occur in the coming days.
The All-Pakistan Gems and Jewellers Sarafa Association announced another increase in domestic gold rates on Thursday. The price of 24-karat gold rose by Rs 400 during the day. This second consecutive daily increase follows a larger jump of Rs 900 on Wednesday, pushing the commodity to near-record levels.
However, international market analysts suggest that these high prices may not last much longer due to shifting global financial policies.
Breakdown of Latest Gold Rates
The latest pricing update shows a steady upward movement across all major gold weights in the local market.
- One tola of 24-karat gold now costs Rs 425,436.
- Ten grams of 24-karat gold increased by Rs 343 to sell at Rs 364,742.
- Ten grams of 22-karat gold reached Rs 334,358.
- Local silver rates fell by Rs 134 to settle at Rs 6,155 per tola.
Global Factors Point to Potential Price Drops
Many local buyers now wonder: will gold rate decrease in coming days?
Global financial institutions, including OCBC Bank, expect international gold rates to drop steadily heading into the winter months. This expected decline is linked to rising government treasury yields and a stronger US dollar. A stronger dollar makes gold more expensive for international buyers, which quickly lowers the overall demand for the precious metal.
Additionally, central banks have slowed down their gold purchases significantly compared to the start of the year. If the US Federal Reserve maintains current interest rates global spot gold prices will likely experience downward pressure. Since Pakistan links its domestic prices directly to global rates, any international drop will cause local rates to decrease for Pakistani consumers.
