Pakistani Gold Prices Plummet as US Jobs Report Sparks Rate Hike Expectations
Gold prices in Pakistan fell on Monday due to losses in the international market after Friday's strong US jobs report increased expectations of a Federal Reserve rate hike this month.
The decline in gold was accompanied by a decrease in silver, which also weakened. The All-Pakistan Gems and Jewellers Sarafa Association reported that 24-karat gold was sold at Rs463,136 per tola, down Rs2,400 from the previous day's rate. Ten-gram gold dropped to Rs397,064, a decline of Rs2,058.
Spot gold in the international market fell by 0.3% to $4,412.73 an ounce, while US gold futures for December delivery decreased by 0.4% to $4,458.70. Trading volumes were thin due to the US Labour Day holiday.
Adnan Agar, Interactive Commodities Director, said that the market was quiet on Monday due to the bank holiday in the US and low trading volume. He predicted that gold prices would remain volatile in the coming days, with a higher chance of an upward trend and fewer chances of a downward trend.