- Gold price settles at Rs143,100 per tola.
- Cumulatively, gold loses Rs1,950 per tola in last two sessions.
- Silver prices in domestic market decline by Rs10 per tola.
KARACHI: Gold extended losses into a second session on Monday, closing slightly above the threshold of Rs143,000 per tola in line with price movement in the international market and expectations that economic recovery could sap inflationary pressure, curbing the metal’s appeal as a hedge.
Data released by All Pakistan Sarafa Gems and Jewellers Association (APSGJA) showed that the gold price gained Rs700 per tola and Rs600 per 10 grams to settle at Rs143,100 and Rs122,685, respectively.
Cumulatively, the precious commodity has lost around Rs1,950 per tola in the last two sessions. Meanwhile, it lost Rs2,700, or 1.84% per tola during the week that ended on October 8.
Pakistan is a small market for gold at the global level. It meets the commodity’s demand through imports as it does not produce the commodity locally.
Accordingly, the gold price for local markets is determined by keeping in view its prices in world markets, rupee-dollar exchange rate, and demand and supply in domestic markets.
The latest price for local markets was determined to keep in view the prices at which trade took place among buyers and sellers.
In the international market, the price of yellow metal plunged by $18 and remained below the key $1,700 per ounce level. The price settled at $1,677.
Gold rates in Pakistan are around Rs3,000 below the cost compared to the rate in the Dubai market.
Meanwhile, silver prices in the domestic market declined by Rs10 per tola and Rs8.58 per 10 grams to settle at Rs1,570 per tola and Rs1,346.02 per 10 grams.