Gold Prices in Pakistan Drop Amid Global Uncertainty

The gold market in Pakistan experienced a significant decline on January 28, 2025, with the price of a single tola of gold dropping by Rs2,700 to Rs286,400, and 10 grams of gold decreasing by Rs2,315 to Rs245,541, amidst contrasting trends in the international market where gold prices rebounded after a previous dip.

The decline in gold prices in Pakistan is attributed to the global market's uncertainty, partly due to the US President's comments on tariffs and potential trade wars, which are influencing the demand for gold as a safe-haven asset. Despite the international market witnessing a rebound, the price of gold in Pakistan saw a massive decline, reflecting the impact of global trends on local markets. The All Pakistan Sarafa Gems and Jewellers Association reported that the price of 24-karat gold per tola decreased by Rs2,700, settling at Rs286,400, while 10 grams of 24-karat gold dropped by Rs2,315, taking it to Rs245,541.

In contrast to the local market, the international market saw a relatively smaller drop, with gold reaching $2,741 per ounce, accompanied by an additional premium of $20. The price of silver in the local market also fell, with a decrease of Rs32 to reach Rs3,363 per tola. The drop in gold prices in Pakistan was more pronounced, with a decrease of Rs2,700 per tola on Tuesday to Rs286,400, and the price of 10-gram gold dropping by Rs2,315 to Rs245,541.

The fluctuations in gold prices, both locally and internationally, highlight the complex interplay between global economic trends, geopolitical factors, and local market dynamics. As the global market continues to navigate uncertainty, it remains to be seen how gold prices in Pakistan will respond in the coming days.