- Price settles at Rs147,900 per tola.
- Gold is fast approaching key lows.
- Silver prices remain unchanged.
KARACHI: Gold snapped its four-day gaining spree as price declined by 1.7% per tola in Pakistan in line with the dominant trend in the international market since the last few days.
Data released by the All Pakistan Sarafa Gems and Jewellers Association (APSGJA) showed that the price rose by Rs2,500 per tola and Rs2,144 per 10 grams to settle at Rs147,900 and Rs126,800.
Gold is fast approaching key lows as the strengthening rupee and higher interest rates reduce the non-yielding bullion’s appeal.
Pakistan meets almost all its gold demand through imports, and traders follow its international price in setting rates in the country. Jewellers import the metal against the US dollar and UAE dirham before converting its price into rupees.
In the international market, the price of yellow metal clawed back and slightly increased by $2 per ounce to settle at $1,637.
Globally, gold prices rose from a three-week trough due to a pullback in the US dollar, although higher Treasury yields and prospects of another big rate hike by the Federal Reserve kept investors on edge.
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 remained unchanged at Rs1,590 per tola and Rs1,363.16 per 10 grams.