Gold recedes after record highs

Sheds Rs300 per tola; SBP injects Rs791b through dual OMOs; rupee inches lower, closes at 280.72/$

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KARACHI:

After remaining buoyant for several days and hitting record highs in previous sessions, gold prices saw a slight decline in the local market on Friday.

According to the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA), the price of gold fell by Rs300 per tola, settling at Rs349,700. Similarly, the rate for 10 grams of gold dropped by Rs257 to Rs299,811.

The dip comes after Thursday's historic surge when the per tola price of gold hit the all-time high mark of Rs350,000.

Gold prices also eased in the international market. As per APGJSA, the global rate stood at $3,326 per ounce, including a $20 premium, marking a modest decrease of $3 during the day.

Adnan Agar, Director at Interactive Commodities, said trading activity in the local market remained subdued due to the closure of international markets on account of Good Friday, a Christian holiday. "Since it's a holiday today, the international market is closed, which has affected local trading volumes," he added.

Meanwhile, the Pakistani rupee registered a marginal decline against the US dollar, slipping by 0.04% in the inter-bank market on Friday.

By the close of trading, the local currency settled at 280.72 against the greenback, marking a loss of 10 paisas compared to the previous day's closing rate of 280.62.

On April 18, 2025, the State Bank of Pakistan (SBP) conducted two Open Market Operations (OMO) to inject liquidity into the financial system—one Shariah-compliant and the other conventional.

In the Shariah-compliant Mudarabah-based OMO, the SBP received bids totalling Rs354 billion, all of which were fully accepted. This included Rs220.5 billion for the 7-day tenor at a return rate of 12.09% per annum and Rs133 billion for the 14-day tenor at 12.10%.

For the conventional OMO (Reverse Repo Injection), the SBP received bids worth Rs771 billion but accepted only Rs437 billion. The accepted amounts comprised Rs176 billion for the 7-day tenor and Rs261 billion for the 14-day tenor, both at a rate of 12.09%. Notably, the 7-day tenor saw partial acceptance on a pro-rated basis, with only Rs75 billion accepted out of Rs308 billion offered at the 12.09% rate.