Gold price drops to Rs124,850 in Pakistan

KARACHI: Gold price fell in the local market on Tuesday as a strengthening rupee against the dollar weighed on the yellow metal.

Gold price in the local bullion market fell by Rs1,350 per tola and Rs1,157 per 10 gram today to reach Rs124,850 and Rs107,039 amid rising prices in the international markets.

The precious commodity closed at Rs126,200 per tola and Rs108,196 per 10 grams on Monday.

Investors are concerned regarding the upcoming Monetary Policy Committee (MPC) meeting scheduled to be held on November 19 as interest rate hikes tend to reduce non-interest bearing gold’s appeal as it raises the metal’s opportunity cost.

It recorded an increase of $11 per ounce to around $1,874 in the international market, according to All Sindh Saraf Jewellers Association (ASSJA).

Cumulatively, the precious commodity had gained Rs4,800 or 3.89% per tola during the last week.

Meanwhile, silver prices in the domestic market remained unchanged at Rs1,480 per tola and Rs1,268.86 per 10 grams today.