After reaching a record high in the previous session, gold prices declined in Pakistan, in line with their decrease in international rates. In the local market, gold price per tola lost Rs1,600 on Wednesday to settle at Rs301,500.
Similarly, 10-gram gold was sold at Rs258,487 after it recorded a decrease of Rs1,372, according to rates shared by the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA).
On Tuesday, gold price per tola gained Rs100 to reach an all-time high of Rs303,100.
Meanwhile, the international rate of gold decreased on Wednesday. As per APGJSA, the rate was at $2,888 per ounce (with a premium of $20) and was down by $16 during the day.
Meanwhile, silver prices remained stable at Rs3,312 per tola.
Internationally, gold prices slipped on Wednesday after rising to an all-time high in the previous session, as Federal Reserve Chair Jerome Powell’s hawkish comment cemented views of slower rate cuts this year, while investors awaited a key US inflation report.
Powell said on Tuesday the economy is in a good place and the Fed isn’t rushing to cut interest rates further, but is prepared to do it if inflation drops or the job market weakens.
Bullion is considered a hedge against inflation, but higher interest rates dampen the non-yielding asset’s appeal.
American Dollar Exchange Rate