Gold Prices Drop Sharply for Third Consecutive Day, Rate Falls Below Rs 500,000 Per Tola

Karachi: Gold prices continued their downward trend for the third consecutive day in both local and international markets, recording a significant decline.

In the local bullion market, the price of gold per tola dropped by Rs 21,500, bringing it below the Rs 500,000 mark. According to bullion traders, the price of one tola of gold fell to Rs 490,362, while the price of 10 grams of gold declined by Rs 18,433 to Rs 420,406.

On the international front, gold prices also witnessed a sharp fall. In the global market, gold dropped by $215 per ounce, reaching $4,676 per ounce.

Silver prices followed a similar trend. In the international market, silver declined by $6.01 per ounce to $79.30. As a result, in the local market, the price of silver per tola fell by Rs 1,601 to Rs 8,405, while 10 grams of silver dropped by Rs 516 to Rs 7,205.

Economic analysts attribute the decline in gold prices to tight monetary policies adopted by central banks in the United States and European countries to curb inflation. These measures have made bonds and other investment instruments more attractive, reducing demand for gold.

Additionally, volatility in global stock markets and shifting investment trends are also impacting gold prices. Experts note that fluctuations in international gold prices often influence local markets, although the extent depends on factors such as currency exchange rates, taxation, and broader economic conditions.