ISLAMABAD
Gold prices maintained its losing streak in the country on Thursday, with the price of one tola of 24-karat gold dropping by Rs500.
According to the All-Pakistan Gems and Jewellers Association’s (APSGJA) data, the price of one tola of 24-karat gold decreased by Rs500 to Rs220,100. Similarly, the gold rate for 10 grams of 24-karat moved down to Rs188,700 from Rs189,130, showing a decrease of Rs430. Following suit, 10 grams of 22k gold were being traded for Rs178,225 while a single tola of 22-karat gold was being sold at Rs 207,898.
The gold prices have been on a downward trajectory in the country and are set to go down for a third week in a row. Gold prices eased by Rs4,150 (-1.79 percent) per tola last week, falling for the second straight week. During the last four sessions, the price of one tola of 24-karat gold has dropped by Rs7,150.
In the international market, as of 1300 hours GMT, the gold futures were available at $1,934.80 per ounce, showing a decrease of $7.20 (-0.37 percent). Out of the $7.20 per ounce decrease, +$2.25 was due to weakening of the US dollar and -$9.45 was due to predominant sellers, according to Kitco Gold Index.
Gold price witnessed selling pressure and retreated as a neutral interest rate decision by the US Federal Reserve is merely a skip. Fed chair Jerome Powell has confirmed that more interest rate hikes will be announced as a victory against stubborn inflation is still far.
The market sentiment is quite cautious as the Fed reiterated that core inflation is still persistent and labour market conditions are extremely tight. Also, Fed Powell confirmed that no rate cuts are appropriate by the year-end.
Meanwhile, the US Dollar Index dropped to near 103.15 after facing stiff barricades around 103.40. However, some sort of consolidation is anticipated from the USD Index.
