In an unexpected turn of events, Pakistan gold market experienced one of its sharpest declines ever, as prices plunged by a massive Rs. 10,400 per tola in a single day. The drop, which ranks as the second-largest single-day decrease in the country’s recorded history, has sent shockwaves through both the bullion trade and ordinary consumers who closely track gold prices for savings and ceremonial purchases.
Price Dip Surprises Traders and Buyers Alike
According to the latest figures released by local bullion associations, the new rate for one tola of gold has dropped to approximately Rs. 2,10,500. This is a steep fall from the previous rate of Rs. 2,20,900. Meanwhile, the price for 10 grams of gold has dipped to around Rs. 1,80,470, making gold more accessible to buyers after weeks of sustained highs.
This abrupt drop comes just months after gold soared to a record peak in March 2025, when it touched Rs. 3,20,800 per tola — an all-time high that led many investors to pour money into the precious metal in search of safe returns.
Global Factors Drive Local Decline
The plunge in Pakistan’s gold prices isn’t happening in isolation. Globally, gold has seen a pullback due to multiple international factors:
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US Dollar Strength: As the dollar gains strength in global currency markets, gold — which is priced in dollars — becomes more expensive for investors using other currencies, leading to reduced international demand.
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Easing Global Tensions: As geopolitical risks have eased somewhat, investors have started shifting capital away from safe-haven assets like gold and toward stocks and bonds.
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Profit-Taking: After months of a bullish trend, traders are cashing out profits, contributing to a sell-off in the global gold markets.
Mixed Reactions Across Pakistan
The news has sparked diverse reactions among various segments of society. For jewelry buyers and soon-to-be-wed families, the price cut has brought some much-needed relief. Many had put off purchases during the months of soaring rates and are now looking to buy while prices remain low.
Retail jewelers in major markets like Karachi, Lahore, and Islamabad have reported an increase in customer interest since the announcement. “People who had delayed buying sets and bangles are now returning to the market,” said one jeweler in Saddar, Karachi.
On the flip side, small-scale investors who purchased gold at higher rates just weeks ago are now facing potential losses. However, financial experts caution against panic.
Economists Weigh In
Market analysts and economic commentators have described the drop as a “healthy correction” in a market that had become overheated. Some even view this as a buying opportunity, particularly for long-term investors who value gold as a hedge against inflation and currency devaluation.
“This is not a collapse — it’s a rebalancing,” explained Dr. Zainab Shah, an economic analyst based in Lahore. “Whenever prices hit record highs, a pullback is natural. If the global indicators shift again — say, another geopolitical crisis or inflation surge — gold prices may rebound quickly.”
What’s Next for Gold Prices?
Looking ahead, experts believe the next few weeks will be crucial in determining the direction of the gold market in Pakistan. Much depends on external variables such as U.S. Federal Reserve policy, oil prices, and the performance of global stock markets.
In the local context, fluctuations in the Pakistani rupee and import duties on gold also play a significant role. Traders are urging buyers to remain watchful, but not to make hasty decisions based solely on short-term movements.
Conclusion
The sudden drop in gold prices has certainly created waves in Pakistan’s financial landscape. For many, it’s a chance to re-enter the market; for others, it’s a moment to reevaluate investment strategies. Regardless of short-term fluctuations, gold continues to be a prized asset in Pakistani culture — valued not only for its beauty but also for its ability to store value over time. Only time will tell whether this recent plunge is a brief dip in a long-term upward trend or the start of a more sustained correction. Either way, gold’s position as a financial and cultural cornerstone in Pakistan remains firmly intact.
Reference: سونے کی قیمت میں تاریخ کی دوسری بڑی کمی،10 ہزار 400 روپے سستا ہو گیا
