Gold Price in Pakistan Return to Previous Value Today
Gold price in Pakistan experienced a notable decline on Tuesday, reversing a recent upward trend and aligning closely with movements in the international bullion market. As global gold rates eased following pressure from rising US Treasury yields and short-term profit-taking, the domestic market mirrored similar sentiment.
According to the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA), the price of gold per tola fell by Rs. 2,700, settling at Rs. 444,162. Likewise, the price of 10-gram gold dropped by Rs. 2,315, reaching Rs. 380,797.
This correction comes shortly after gold touched a six-week high internationally, reflecting how sensitive the bullion market remains to global financial indicators, particularly US economic data and monetary policy expectations.
International Market Trends Influence Local Prices
In the global market, gold prices slipped by $27, dropping to $4,218 per ounce, which includes a $20 premium. This decline followed a strong session the day before, when gold hit its highest level since October 21.
The downward movement was primarily driven by:
✔ Rising US Treasury Yields
Benchmark 10-year US Treasury yields climbed to a near two-week high. Higher yields generally reduce the appeal of gold because bullion does not generate interest.
✔ Profit-Taking After Recent Highs
Traders who benefitted from last week’s surge opted to cash in, prompting short-term corrections.
✔ Anticipation of US Economic Data
Investors are watching closely for macroeconomic indicators that may shape the US Federal Reserve’s next interest rate decisions. Any signals suggesting tighter monetary policy tend to exert downward pressure on gold.
Meanwhile, US gold futures for December slipped 0.7%, landing at $4,246.60 per ounce.
Local Silver Prices Also Decline
The local silver market followed a similar trend, with prices decreasing by Rs. 41 per tola, settling at Rs. 6,004. Silver prices often track gold due to their shared investor base and role as safe-haven assets, though silver tends to be more volatile.
Read Also Here: Gold Price in Pakistan Skyrockets After Sudden Market Shift
Why Did Gold price in Pakistan Revert After an Increase?
Several key factors contributed to Pakistan’s gold price correction:
1. Global Market Synchronization
Pakistan’s gold market is heavily influenced by global bullion rates. With international prices easing, local markets adjusted accordingly.
2. Strengthening US Dollar
A stronger US dollar makes gold more expensive for foreign buyers, weighing on demand and reducing international prices.
3. Investor Strategy Shift
Many investors are temporarily moving away from safe-haven assets like gold, anticipating possible interest rate stability or reductions in early 2026.
4. Domestic Demand Patterns
While Pakistan maintains steady gold demand for investment and jewelry, prices often fluctuate sharply due to currency volatility and import dependency.
Economic Indicators Driving the Gold price in Pakistan
The global gold market does not move in isolation. Several economic indicators are currently in play:
✔ US Inflation Data
Expected economic reports may reveal whether inflation continues cooling, influencing Fed policy on interest rates.
✔ Interest Rate Projections for 2026
Speculation around a potential rate cut in the first quarter of 2026 has introduced volatility in the metal market.
✔ Geopolitical Stability
Geopolitical uncertainty typically boosts gold; however, improved global stability in recent weeks has eased safe-haven demand.
Historical Context: Pakistan’s Gold Price Volatility
Gold has long served as a trusted store of value in Pakistan, especially during times of currency instability and inflation. Historically, gold prices in Pakistan have experienced sharp fluctuations due to:
• Currency Depreciation:
The Pakistani rupee has seen significant swings over the past two decades, directly affecting gold import costs.
• Global Financial Crises:
Events such as the 2008 recession, the 2020 pandemic, and recent geopolitical tensions strengthened gold’s position as a safe investment.
• Seasonal Demand:
Wedding seasons and festival periods consistently raise gold demand, amplifying price movements.
In the early 2000s, gold traded at less than Rs. 15,000 per tola—vastly lower than today’s levels. As global prices surged and economic conditions shifted, Pakistan’s gold market evolved from a luxury commodity to a financial hedge relied on by millions.
Investor Outlook: What’s Next for Gold Prices Pakistan?
Market analysts suggest that gold may continue to fluctuate in the near term due to:
• US interest rate announcements in early 2026
Any sign of rate cuts could push gold higher.
• Shifting Dollar Strength
A weakening dollar typically boosts global gold demand.
• Continued geopolitical monitoring
Unexpected developments could revive safe-haven buying.
For investors, this dip may represent a buying opportunity—provided they follow trends closely and understand the risks associated with short-term price swings.
For reference, updated global charts and market tracking can be found on Investing.com (external link):
https://www.investing.com/commodities/gold
FAQs
1. Why did gold prices fall today in Pakistan?
Gold prices fell due to a drop in international rates, profit-taking, and higher US Treasury yields.
2. What is the current gold rate per tola in Pakistan?
Gold is currently priced at Rs. 444,162 per tola after a Rs. 2,700 decrease.
3. Will gold prices rise again soon?
Prices may rise if US inflation data softens or global uncertainty increases, but short-term fluctuations are expected.
4. Why does Pakistan’s gold market follow global trends?
Pakistan is a gold-importing country, so international bullion rates and the US dollar directly impact local prices.
5. Are silver prices also falling?
Yes, silver prices dropped by Rs. 41 per tola, reflecting global market behavior.
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