ISLAMABAD: Gold prices in the local market remained on a downward slide and decreased by Rs800 on Monday, following the rupee’s appreciation against the US dollar and a consistent decline in international bullion prices. The price of one tola of 24-karat gold decreased to Rs202,000 from Rs202,800. Similarly, the gold price for 10 grams of 24-karat decreased to Rs173,200 from Rs173,870. On the other hand, as of 1325 hours GMT, gold futures in the international market were available at $1,836.10 per ounce, showing a decrease of $12.30. Out of the $12.30 decrease, -$7.60 was due to strengthening of the US dollar and -$4.70 was due to predominant sellers, according to the Kitco Gold Index. TLTP
Gold price turned south and dropped to its weakest level since early March below $1,840. The benchmark 10-year US Treasury bond yield turned positive on the day above 4.6 percent, following Friday’s correction, weighing on the gold price.
The fall in the precious metal’s value in the local market was witnessed after the rupee’s upward movement. It is to be noted that local bullion pricing bodies, Karachi Sarafa Market and All Pakistan Gems and Jewelers Association, have refrained from announcing daily commodity prices since September 13 and the prices quoted above are being collected from different markets. This decision follows a crackdown on alleged betting and smuggling activities by certain institutions.
This is sparking speculation about potential actions against gold smugglers or a downward trend in the country’s precious metal market, leading to silence from the pricing body. It is worth noting that in the absence of official gold rates, consumers at jewelry shops are experiencing a state of confusion.
Earlier, the gold price in the country decreased for the second consecutive week by Rs13,000 (-6.02 percent) per tola on a week-on-week basis after falling by Rs2,200 in the preceding week. The gold rate for a single tola of 24-karat on a week-on-week (WoW) basis decreased to Rs202,800 from Rs215,800, according to different local gold markets.
