KARACHI: Gold prices in Pakistan witnessed a massive decline on Friday, marking one of the sharpest single-day drops in recent months as international bullion markets faced heavy selling pressure amid global economic uncertainty.
According to the latest rates issued by the All Pakistan Sarafa Gems and Jewellers Association, the price of 24-karat gold per tola dropped by Rs15,500, bringing the new rate to Rs476,862 compared to the previous closing price of Rs492,362.
Similarly, the price of 10 grams of 24-karat gold fell by Rs13,289 and settled at Rs408,832, down from Rs422,121 recorded in the previous trading session. The sharp decline has surprised traders and investors across local bullion markets, particularly in major cities including Karachi, Lahore, and Islamabad.
In the international bullion market, gold prices also witnessed a major decline. The global gold rate plunged by $155 per ounce, settling at $4,545 compared to the earlier price of $4,700 per ounce. Analysts say the international market correction directly impacted domestic gold prices in Pakistan.
Silver prices also followed the downward trend. The price of silver per tola decreased by Rs972, reaching Rs8,232 compared to the previous rate of Rs9,204.
Market experts linked the sudden volatility in precious metal prices to changing geopolitical developments and investor sentiment. Analysts noted that easing tensions between the United States and Iran, along with optimism surrounding diplomatic negotiations, reduced demand for safe-haven assets like gold.
Financial analyst Kyle Rodda stated that recent comments from the Trump administration regarding a possible ceasefire and positive signals related to a potential US-Iran agreement have temporarily stabilized investor confidence in global markets.
Despite the sharp decline, experts believe gold remains one of the strongest long-term investment options. Investors continue to view bullion as a hedge against inflation, currency depreciation, and economic instability.
Historically, gold demand rises during periods of financial uncertainty, making it a preferred safe-haven asset for both investors and consumers. Analysts expect bullion prices to remain volatile in the coming weeks as global economic and geopolitical developments continue to influence international markets.
