Gold price falls slightly by Rs500 to Rs256,000 per tola

Gold prices in Pakistan held steady on Monday, even as global markets experienced significant fluctuations due to concerns over a potential slowdown in the US economy.

According to the Karachi Sarafa Association, the price of 24-karat gold remained at Rs256,000 per tola, reflecting a modest decline of Rs500.

In contrast, international markets saw a dramatic decline in spot gold prices, which plummeted by as much as 3.2 per cent in the previous session—the largest intraday drop since early June.

By the end of the trading day, gold prices had recovered somewhat but still closed 1.2 per cent lower. The metal traded within a volatile range of over $90, driven by fears of a deeper economic slowdown in the US.

The VIX index, which gauges market volatility, surged by 180 per cent to 65.7, marking its highest level since the COVID-19 crisis in 2020. Concurrently, spot silver prices fell by 4.6 per cent globally, which would have equated to a loss of approximately Rs130 per tola in Pakistan.

Despite these global declines, the Sarafa Association reported that the price of 24-karat silver in Pakistan was Rs2,850 per tola, only down by Rs50.