Gold prices further fall by Rs1,000/tola

KARACHI: Gold prices on Saturday fell by another Rs1,000/tola in the local market, but still remained under cost by Rs4,000, compared with the Dubai gold rates, dealers said.

According to rates announced by the Karachi Saraf Association, gold price in the local market came down to Rs78,600/tola from Rs79,600/tola on Friday.

Price of 10 gram gold moved down Rs857 to Rs67,387 from Rs68,244/10 grams a day ago.

A decline in the gold prices in the international market and the rupee recovery in the local market resulted in a decline in local gold rates, a dealer said.

“Appreciation in rupee value and a decline in local demand had weakened the gold prices,” another dealer said.

However, he warned that prices might again move upward, as there was no improvement in the economic conditions of the country.

In the international market, gold was traded at $1,410/ounce, down $4/ounce from $1,414 a day ago.

Dealers said Russia and China have been developing their gold reserves, while its trade was under stress in Pakistan and India because of low purchasing power on high inflation.