Gold drops by Rs5,200 per tola as global prices tumble

Gold prices extended their decline on Thursday in Pakistan as the price of gold per tola dropped by Rs5,200 after the international market saw a dip of $52 per ounce to $4,714.

According to the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA), in the local market, the price of gold per tola after the drop reached Rs493,762. Similarly, the price of 10 grams of gold decreased by Rs4,458 to Rs423,321.

Silver prices also recorded a decline. The price per tola of silver fell by Rs225 to Rs8,099, while the price of 10 grams decreased by Rs193 to Rs6,943.

In the international market, silver fell 1.9% to $76.22 per ounce, platinum lost 1.8% to $2,037.18, and palladium was down 2.1% at $1,512.86.

Read: Gold dips Rs1,200 despite global rebound

The latest drop follows Wednesday's decline, when the price of gold per tola fell by Rs1,200 to settle at Rs498,962, according to the All-Pakistan Gems and Jewellers Sarafa Association. Similarly, the price of 10 grams of gold decreased by Rs1,029 to Rs427,779.

Silver prices also followed a downward trajectory, falling by Rs34 to Rs8,324 per tola. Market sentiment globally was supported by a decline in benchmark 10-year US Treasury yields, which slipped by 0.2%, making non-yielding assets like gold relatively more attractive.

Meanwhile, on Wednesday, the Pakistani rupee appreciated by 0.01%, gaining Rs0.03 to settle at 278.87 against the US dollar in the inter-bank market after closing at 278.90 on Tuesday.

Read more: Gold, silver extend declines in international and domestic markets

Also on Tuesday, gold and silver prices declined in both international and domestic markets. In the international bullion market, gold fell by $10 per ounce to $4,778. Locally, gold per tola dropped by Rs1,000 to Rs500,162, while 10 grams fell by Rs857 to Rs428,808.

Silver also declined, with the per tola rate down Rs59 to Rs8,358 and 10 grams falling Rs51 to Rs7,165.