Gold and silver prices have crashed in the domestic and global markets, resulting in a historic drop in the price of gold in local bullion markets.
According to the latest data released by the All Pakistan Gems and Jewelers Bullion Association (APGJSA), the price of 24-carat gold per tola has seen an extraordinary decline of Rs 9,720 in the local markets, after which gold closed at Rs 432,716 per tola. Similarly, the price of 10 grams of gold also recorded a big increase (decrease) of Rs 8,748, and its new price in the market has come down to Rs 369,422. On the other hand, silver prices also remained under pressure, where silver per tola fell by Rs 40 to Rs 6,889.
In the international bullion market, gold prices have also suffered a severe setback due to profit-taking by investors and the strengthening of the US dollar. After a big drop of $ 97.20 per ounce of gold in the global market, it has come down to $ 4,102.80. According to economic experts, the recent tension between Iran and the US has led to an increase in global crude oil prices, which has again increased the risks of inflation in the US.
Investors fear that the US central bank (Federal Reserve) may further increase interest rates to control inflation, due to which investors are withdrawing positions from gold and turning to bonds and banks. Despite the uncertainty in the global market, the US dollar has strengthened against other global currencies, which has increased pressure on gold.
Representatives of the Sarafa Association say that this unusual situation of volatility in the global market may continue for the next few days, the effects of which are also continuously visible on local prices.
Read also: Significant drop in Gold Price, check latest rates here
