Gold prices fall as rupee ticks up against dollar

KARACHI: The gold prices in Pakistan edged lower as the rupee slightly firmed against the dollar on Friday amid lukewarm demand for the greenback and improved remittances on Eid.

The price of gold (24 carats) decreased by Rs1,100 per tola and Rs943 per 10 grams to settle at Rs214,200 and Rs183,642, respectively, according to the data released by All-Pakistan Sarafa Gems and Jewellers Association (APSGJA). 

Meanwhile, the price of the yellow metal also fell by $9 and settled at $1,922 per ounce in the international market today.

The gold rate has been volatile in Pakistan recently amid continued political and economic uncertainty, and high inflation. People prefer to buy this precious commodity in such times as a safe investment and a hedge.

In the last week ended on June 24, the price of the bullion continued a downward slide for seven consecutive sessions. Cumulatively, the price fell by Rs8,900 per tola.

Data shared by the association showed the price of silver managed to remain unchanged at Rs2,550 per tola and Rs2186.21 per 10 grams, respectively.

It also mentioned that the price of the bullion is Rs3,000 per tola “undercost” in Pakistan as compared to the Dubai market, showing that the Pakistani gold market was currently cheaper than the global.

Meanwhile, the local currency also made meagre gains by increasing Rs0.72 or 0.25% against the greenback to close at Rs285.99 on Tuesday.