Gold price drops by Rs100 per tola in Pakistan

• A gold dealer says that due to lack of purchasing power, there is no demand in local market.
• In the international market, gold drops by $12 per ounce to settle at $1,771.
• Silver prices in local market remain unchanged at Rs1,460 per tola.

KARACHI: Gold price in Pakistan slightly dropped by Rs100 per tola and Rs86 per 10 grams in Pakistan to close at Rs124,200 and Rs106,481 in the domestic market.

The price of precious metal on Thursday remained unchanged at Rs124,300 per tola and Rs106,567 per 10 grams. During the December 6-8 period, the safe-haven asset gained Rs900 per tola.

Speaking to Geo.tv, a gold dealer said that due to lack of purchasing power, there is no demand in the local market.

He added that the price of gold in the local market is currently being determined keeping in view the rupee-dollar parity.

The dealer predicted that if the US dollar keeps trading in the range of Rs175-177, the rate of gold will also stay within the range of Rs124,000-125,000; however if there is major fluctuation in the US currency on the higher side, then the bullion price will trade within a range of Rs127,000-128,000 till the year-end.

Meanwhile, in the international market, gold dropped by $12 per ounce to settle at $1,771 set for a fourth straight weekly fall as caution prevailed ahead of US inflation data that could prompt the Federal Reserve to taper its bond purchases at a faster pace.

Meanwhile, silver prices in the domestic market remained unchanged at Rs1,460 per tola and Rs1,251.71 per 10 grams.