Gold Price Falls in Pakistan on First Day of 2026 – Latest Rates
Pakistan has entered the year 2026 with a noticeable decline in gold prices, as local bullion rates followed the downward trend seen in the international market. This fall has created a mixed reaction across the country, bringing some relief to jewellery buyers while creating concern among gold investors and traders. The beginning of 2026 has therefore started with significant movement in precious metal prices, making this development highly important for the local economy and gold market observers.
Gold Price Per Tola Falls in Local Market
According to the latest data released by the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA), the price of gold per tola in Pakistan recorded a major decline on the very first day of the new year. The price of gold per tola dropped by Rs. 2,400, bringing the new price down to Rs. 454,562 per tola in the local market.
This decline did not happen suddenly. Only a day earlier, gold prices had already faced a reduction when the per tola price decreased by Rs. 2,500. At that time, the price stood at Rs. 456,962 per tola. With the fresh fall, gold has now lost around Rs. 5,000 within just two days, reflecting strong downward pressure in the bullion market.
This continuous fall indicates that the local gold market is currently under the influence of global price trends, currency movement, and investor behaviour.
10-Gram Gold Price Also Declines in Pakistan
Along with the per tola rate, the price of 10 grams of gold also witnessed a decline. As per APGJSA figures, the rate of 10-gram gold decreased by Rs. 2,058, setting the new price at Rs. 389,713.
Both per tola and 10-gram prices moving downward shows that the market correction is not limited to one category. Instead, the trend is uniform across all major gold price measurements, which reflects the seriousness of the situation.
International Gold Price Also Weakens
Gold prices in Pakistan are closely linked with the international gold market, and this time too, local price movement followed global behaviour. In the international bullion market, gold prices slipped by $24, reaching $4,322 per ounce, including a premium of $20.
This decline shows that the weakness was not just regional but part of a broader international trend. Global investors have been reacting to financial developments, economic expectations, and currency factors, all of which play a key role in determining the price of gold.
Silver Prices Also Record Decline
The impact of price reduction was not limited only to gold. Silver prices in Pakistan also decreased alongside gold. According to APGJSA, the price of silver per tola dropped by Rs. 83, bringing the latest rate to Rs. 7,635 per tola.
This development shows that precious metals as a whole are currently facing pressure, both locally and internationally.
Why Did Gold Prices Fall in Pakistan?
Gold prices do not change without reason. Several important factors contributed to the latest decline in gold prices in Pakistan.
International Market Pressure
Gold is considered a global commodity, and its price movement in one part of the world is usually connected to what happens internationally. When the global market witnesses a price drop, local markets like Pakistan also face its impact.
Strength of the US Dollar
Gold prices generally move in the opposite direction of the US dollar. When the dollar strengthens globally, gold prices tend to decline as investors shift their interest towards other financial instruments.
Economic Stability Expectations
When international investors believe that the world economy may stabilize or perform better, the demand for gold as a “safe-haven asset” decreases. Reduced demand leads to lower prices.
Interest Rate Policies
Central banks around the world also influence gold markets. Higher interest rates often reduce gold attraction, encouraging investors to put their money in interest-based savings and investment tools.
Local Currency & Market Sentiment
If the Pakistani rupee becomes more stable, gold prices may see downward pressure. Local demand, investor confidence, and purchasing trends also play a significant role.
What Does This Fall Mean for Pakistan?
This decline in gold prices has different effects on different segments of society.
Relief for Jewellery Buyers and Wedding Families
For people planning weddings, gifts, or jewellery purchases, this decline is a welcome development. Even a slight decrease in gold prices can reduce overall expenses, especially during wedding season when jewellery costs already remain high.
Concern for Gold Investors
On the other hand, those who invested in gold when prices were higher may feel worried. A drop in prices affects investment value, although many long-term investors consider such declines as temporary and part of normal price cycles.
Impact on Local Jewellery Market
Jewellers may see increased customer visits after the decline, as people often wait for price reduction before purchasing gold. However, uncertain price movement can also create hesitation among buyers.
Will Gold Prices Continue to Fall in 2026?
Predicting gold prices is always challenging, as they depend on many changing global and local factors. However, current indicators suggest that if:
- International gold market remains weak
- Dollar strengthens further
- Global economic conditions stabilize
then gold prices may continue to face pressure.
However, if geopolitical tensions rise, inflation increases, or financial uncertainty returns, gold prices may again start moving upward. For now, the market situation is dynamic, and experts suggest careful monitoring rather than sudden decisions.
What Was the Price of Gold on January 1, 2020?
On January 1, 2020, gold prices in Pakistan were significantly lower compared to recent years. At that time, the price of gold per tola was approximately in the range of Rs. 100,000 to Rs. 110,000, reflecting global gold rates and local currency value before major economic shifts like the COVID-19 pandemic and currency fluctuations. Gold was considered a safe-haven investment, and although prices were high historically, they were still much lower than what we saw in later years such as 2025 and 2026.
Why Does Gold Price Decrease Day by Day?
Gold prices can decrease day by day due to a combination of global and local economic factors. International gold rates are heavily influenced by the strength of the US dollar, changes in interest rates, and investor demand. When economic outlooks improve, investors may shift money from gold to stocks or other assets, reducing gold demand and pushing prices down. Additionally, if the Pakistani rupee strengthens, imported gold becomes cheaper in local currency terms. Overall, daily price movement depends on global market trends, currency shifts, and investor sentiment.
What Will the Price of Gold Be in January 2025?
Predicting the exact price of gold in January 2025 is impossible, but industry experts use trends to make educated forecasts. Gold prices are influenced by inflation expectations, interest rates, and global economic conditions. If global uncertainty rises again, gold could stay high or even increase. On the other hand, if world economies stabilize and currency values change, prices could moderate. In Pakistan, gold prices usually follow international trends with some local currency influence, meaning that gold in January 2025 could be higher than 2020 levels but will depend on these major economic factors.
Which Month Has the Lowest Gold Rate?
There is no fixed rule for which month always has the lowest gold rate, because prices change daily based on global supply, demand, and economic conditions. However, historically, gold can see softer periods during months when global markets are stable, inflation expectations ease, and demand drops. In many cases, mid-year months like June or July can show softer prices, but this varies every year. Analysts always recommend watching daily and monthly global trends rather than relying on one specific month for the lowest rates.
Final Words -Gold Price Falls in Pakistan on First Day of 2026 Latest Rates
Gold price in Pakistan has started 2026 with a noticeable decline, as gold per tola price dropped by Rs. 2,400, while the 10-gram price also fell significantly. This fall is directly linked to declining international gold rates, currency behaviour, and economic trends. Silver prices also recorded a decrease, showing overall weakness in precious metals.
For now, buyers may find this development beneficial, while investors will closely watch how the market behaves in the coming days. The gold market in Pakistan is expected to remain active and closely monitored as the new year continues.
Whenever the gold rate changes again, we will bring you the latest update.
