Gold prices in Pakistan extended their losses on Wednesday, tracking a sharp decline in international bullion markets as easing geopolitical tensions dampened demand for safe-haven assets.
The All Pakistan Sarafa Gems and Jewellers Association said the price of 24-karat gold fell by Rs5,200 per tola to Rs419,636. The price of 10 grams of 24-karat gold also declined by Rs4,458 to Rs359,770.
In global markets, gold prices dropped by $52 per ounce to $3,972, reflecting improved investor risk appetite as geopolitical concerns eased. Silver prices also moved lower, with the per tola rate falling by Rs107 to Rs6,242.
Market analysts said the decline in precious metal prices was driven by improving global risk sentiment and reduced demand for traditional safe-haven investments following a reduction in geopolitical tensions.
Despite the recent slide, analysts said gold continues to serve as a key hedge against inflation, currency depreciation, and broader economic uncertainty. They added that future movements in precious metal prices would largely depend on global economic conditions, central bank policy decisions, and geopolitical developments in the weeks ahead.