Gold Prices Plummet in Pakistan as Dollar Strengthens
Gold prices in Pakistan fell on Monday due to a combination of factors. The precious metal's value dropped by Rs2,700 per tola to Rs457,536, according to the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA). This decline is attributed to the stronger US dollar, which makes gold more expensive for buyers using other currencies.
The price of 10-gramme gold also decreased by Rs2,315 to Rs392,263. On Saturday, gold had closed at Rs460,236 per tola after falling Rs100 during the session.
In the international market, gold slipped $27 to $4,350 per ounce. Spot gold was down 0.6 percent at $4,351.12 per ounce by 0903 GMT, while US gold futures fell 0.8 percent to $4,388.70. Ricardo Evangelista, director and chief executive of ActivTrades, said that the firmer dollar and profit-taking after Friday's rebound were weighing on gold.
The decline in oil prices also contributed to the decrease in gold prices. Lower oil prices had helped gold rise on Friday by easing some concerns over prolonged inflation. However, tensions remained high after Iran and the United States exchanged fresh threats on Sunday.