Gold prices experienced a dramatic pullback in both global and Pakistani markets on Wednesday, retreating from unprecedented highs fueled by recent geopolitical uncertainties and robust investor demand.
In the international market, gold plummeted by $110 per ounce, settling at $3,345. The sharp correction comes after a prolonged rally that saw the metal soar as investors sought refuge amid rising global tensions.
Pakistan’s gold market echoed the global downturn. The price of 24-karat gold per tola dropped by Rs11,500, reaching Rs353,200, according to local bullion dealers. Similarly, the cost of 10 grams fell by Rs9,860 to Rs302,914.
Market analysts pointed to a wave of profit-taking as the primary driver behind the decline. “After weeks of aggressive buying, many traders decided to cash in on the elevated prices, leading to increased selling pressure,” said a Karachi-based jeweler. The volatility has left investors cautious, with some anticipating further fluctuations in the near term.
The recent slide follows a remarkable uptrend. Just days ago, the All-Pakistan Gems and Jewellers Association reported that 24-karat gold had surged by Rs6,000 per tola to an all-time high of Rs364,700, with 10 grams gaining Rs5,150 to reach Rs312,974.
As global and local markets stabilize, traders are closely monitoring economic indicators and geopolitical developments for clues about gold’s next move.
