Gold prices fall sharply in Pakistan
The price of 24-karat gold fell PKR 12,800 per tola as rising oil prices and higher interest-rate expectations weighed on bullion
Gold prices in Pakistan fell sharply on Monday, with the price of 24-karat gold declining by PKR 12,800 per tola to PKR 438,136, according to the All Pakistan Sarafa Gems and Jewellers Association.
The price of 24-karat gold also fell by PKR 10,973 per 10 grams to PKR 375,631, while 22-karat gold was quoted at PKR 344,340 per 10 grams, down PKR 10,059.
The decline came as international gold prices came under pressure amid heightened tensions in the Middle East and rising oil prices. International gold was trading at USD 4,156 an ounce, down USD 128.
Oil prices have climbed as uncertainty over the Strait of Hormuz and the broader US-Iran standoff raised concerns over energy supplies. Higher oil prices are adding to inflation pressures, increasing expectations that the US Federal Reserve could keep interest rates higher for longer. That has weighed on gold, which does not generate interest income.
Silver prices also declined in Pakistan. The price of 24-karat silver fell PKR 325 per tola to PKR 6,578, while the 10-gram rate dropped PKR 279 to PKR 5,639. International silver was quoted at USD 61 an ounce, down USD 3.25.
The latest move highlights how rising geopolitical tensions can have mixed effects on precious metals, with safe-haven demand competing against inflation, interest-rate and currency pressures.
