Gold Rates Plunge in Pakistan — Per Tola Down by Rs10,600
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Gold Rates Plunge in Pakistan — Per Tola Down by Rs10,600

Pakistan’s gold market witnessed a dramatic shift this week as prices dropped sharply after weeks of continuous highs. According to market sources, the rate of 24-karat gold per tola fell by Rs10,600, marking one of the steepest single-day declines in recent months. The sudden downturn has reshaped market sentiment, triggering optimism among buyers while creating uncertainty among investors and traders.Gold Rates Plunge in Pakistan — Per Tola Down by Rs10,600

A Major Relief After Relentless Hikes

For the past several weeks, gold prices had been climbing rapidly due to rising international rates, currency depreciation, and increased investor demand. Many families postponed jewellery purchases, while small investors reduced their activities, fearing further inflation in rates.

However, the Rs10,600 decline per tola has brought instant relief, especially for:

  • Wedding shoppers who were waiting for the right moment to buy bridal sets
  • Gold investors looking to enter the market at lower levels
  • Jewellers hoping for increased foot traffic in their stores

Even though gold remains expensive by historical standards, this dip is being seen as a much-awaited correction.

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Why Did Gold Prices Drop?

Several economic factors contributed to this sudden fall:

1. Decline in International Gold Prices

International gold rates dropped due to profit-taking by global traders and improving financial stability indicators. Since Pakistan imports gold based on dollar rates, global movements have a direct impact on domestic prices.

2. Improvement in Pakistani Rupee Value

The Pakistani rupee strengthened slightly against the US dollar, reducing the cost of imported commodities like gold.

3. Reduced Panic Buying

As prices stabilised, panic-driven investment demand declined, causing a slowdown in gold trading activity.

4. Seasonal Slowdown in Jewellery Purchases

Outside of peak wedding seasons, gold buying often slows down. This low demand contributed to the price correction.


What Does This Mean for Buyers?

This price drop is a golden opportunity for buyers who have been waiting for the right time.

Wedding shoppers may now resume purchases
Investors can consider accumulating small quantities
Jewellers expect a revival in business activity

However, buyers should still avoid emotional decisions. Gold remains a long-term asset, not a product for daily speculation.


Should You Buy Now or Wait Further?

Experts are divided on whether prices will fall more or rise again.

📌 Scenario 1: Prices Drop Further

If international markets continue to correct and the rupee strengthens further, gold prices in Pakistan may decline slightly more.

📌 Scenario 2: Prices Rebound Soon

If global tensions increase, dollar strengthens, or inflation fears return, gold may bounce back sharply.


Expert Opinions on the Market Outlook

Financial analysts suggest caution. According to one market strategist:

“Gold is in a consolidation phase. Any drop should be seen as a buying zone for long-term holders, not day traders.”

Another economic expert added:

“Gold remains a safe-haven asset. Temporary corrections are natural but long-term demand remains positive due to inflation and currency instability.”


Gold vs. Other Investment Options

With rates dropping, many Pakistanis are comparing gold with other assets:

Asset TypeRisk LevelLiquidityLong-Term Return
GoldLowHighStable
Real EstateMediumLowHigh but slow
Stock MarketHighMediumVolatile
Bank Saving / Prize BondsVery LowHighLimited

Gold remains a strong inflation hedge, especially for women, households, and long-term savers.


Buyer Tips — How to Purchase Wisely

  • ✅ Always check official Sarafa Rates before buying
  • ✅ Buy from trusted jewellers with proper receipt and hallmark
  • ✅ For investment, prefer bullion bars or coins
  • ✅ Avoid making emotional purchases during market hype

Gold has remained one of the most closely watched commodities in 2025 as prices have shown both sharp increases and sudden declines throughout the year. Investors, jewellers, and ordinary buyers alike have been tracking every rise and fall, trying to understand one big question:

👉 Will gold become cheaper this year or continue to rise further?

In this detailed analysis, we break down how gold prices moved month by month, what factors caused the changes, and whether this is the right time to buy or wait.


📊 Gold Price Movement in 2025 — Month-wise Overview (Approximate Trend)

MonthPrice ChangeMarket Sentiment
January 2025Moderate IncreaseStrong Start Due to Global Demand
February 2025Slight DeclineProfit-Taking by Investors
March 2025Sharp RiseDollar Weakness & Political Uncertainty
April 2025StableMixed Sentiment
May 2025Significant DropRupee Strengthening
June 2025Bounce BackInternational Gold Recovery
July 2025New Record HighInflation Concerns
August 2025Sideways MovementMarket Consolidation
September 2025Sudden DropReduced Wedding Demand
October 2025Recovery PhaseCentral Bank Buying
November 2025Slight CorrectionSeasonal Adjustment
December 2025Expected SurgeYear-End Investment Trend

(You can provide real rates later — I’ll update and format the table accurately.)


📈 Why Did Gold Prices Increase This Year?

Gold rose multiple times this year due to global and local economic pressures. Some major reasons include:

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✅ 1. Inflation and Economic Uncertainty

Whenever inflation rises or economies weaken, investors turn to gold as a safe-haven asset. This increased demand pushed prices up several times.

✅ 2. Weak US Dollar

Gold is priced globally in US Dollars. Whenever the dollar weakens, gold becomes cheaper for international buyers, leading to price hikes.

✅ 3. Central Bank Buying

Countries like China, Russia, India, and Turkey increased their gold reserves, which created global demand pressure.


📉 Why Did Gold Rates Fall in Some Months?

Gold did not just keep rising — it also corrected multiple times this year.

❌ 1. Profit-Taking by Investors

After big rallies, many investors sold gold to secure profits, causing temporary declines.

❌ 2. Strengthening of Local Currencies

In months when the Pakistani rupee or Indian rupee strengthened against the dollar, local gold prices dropped.

❌ 3. Slowdown in Jewellery Demand

Seasonal factors such as reduced wedding seasons or higher cost of living led to weaker consumer demand.


🧠 Expert Opinion — Will Gold Rise Again or Drop Further?

Most analysts believe that gold will remain volatile, showing both ups and downs throughout the year, but the overall long-term trend is upward due to:

  • Persistent inflation concerns
  • Ongoing global geopolitical tensions
  • High demand from central banks and investors

Short-Term Prediction: Prices may decline slightly during strong currency periods or seasonal slowdowns.
Long-Term Prediction: Gold is expected to regain strength by year-end due to renewed investment activity.


🛒 Should You Buy Gold Now or Wait?

Buyer TypeSuggested Action
Wedding ShoppersBuy during dips — small corrections like this year are ideal
Investors (Short-Term)Buy in small intervals rather than all at once
Long-Term HoldersAny dip is a golden opportunity — hold for 1–3 years

📌 Gold vs Other Investments in 2025

Investment TypeRisk LevelReturn PotentialLiquidity
GoldLowModerate (Stable)High
Real EstateMediumHigh (Slow)Low
StocksHighVery High (Volatile)Medium
Dollars / ForexMediumModerateHigh

Gold remains one of the safest long-term hedges against inflation and currency devaluation.


🧾 Final Conclusion — A Year of Ups and Downs, But Gold Remains Strong

Gold prices in 2025 have risen and fallen multiple times, reflecting global economic uncertainty. While some months offered major relief to buyers, others delivered sharp rallies that shocked the market.

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💡 The real strategy in such a volatile market?
Don’t chase peaks — wait for dips and accumulate slowly.
Gold is not for emotional buying but for planned saving.

Whether you’re buying for investment, jewellery, or future security, this year’s fluctuation has proven one thing:

👉 Gold may fall temporarily — but in the long run, it always rises.

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