Islamabad: The price of gold in Pakistan dropped by Rs1,200 on Thursday as market volatility took a toll on the appeal of the safe-haven asset.
Data released by the All Pakistan Sarafa Gems and Jewellers Association showed that the price of gold dropped by Rs1,200 per tola on Thursday to settle at Rs185,300. Similarly, the price of gold on a ten-gram basis also rose Rs1,029 to settle at Rs158,865.
Since last week, the market has been witnessing volatility as the economic downturns of the country have affected investors’ moods.
The association reported that the precious metal is currently in “overcost” condition in Pakistan, which means it is being traded at a higher rate in the local market compared to the international market.
The distressful economic condition of the country has forced investors to turn towards the precious commodity, which in turn raised the prices to an all-time high.
Gold is considered to be a safe haven against inflation — which has climbed to a multi-decade high both on a weekly and monthly basis.
Similarly, silver prices in the domestic market also declined by Rs20 per tola and Rs17.15 per 10 grams to settle at Rs2,080 and Rs1,783.26.
