- Local gold drops by Rs2,500 per tola to Rs300,500.
- Spot gold falls 0.5% to $2,862.19 an ounce by 0935GMT.
- Bullion loses 2.5% for week in steepest fall since November.
Local gold prices fell for fourth straight session on Thursday amid a dollar-driven global sell-off, as the per tola (11.7 grammes) price declined by Rs2,500 to Rs300,500, as per the data released by the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA).
Likewise, the price of 10 grammes of gold slipped by Rs2,143 to Rs257,639.
Meanwhile, silver per tola dipped by Rs64 to Rs3,250, while the 10-gramme rate inched down by Rs55 to Rs2,786.
International gold markets extended losing streak on Friday, getting on course for its first weekly loss in nine as the dollar strengthened and the market awaited an inflation print later in the day that could provide clarity on the Federal Reserve’s policy path.
Spot gold fell 0.5% to $2,862.19 an ounce by 0935 GMT. Bullion lost 2.5% for the week, its steepest weekly fall since November.
US gold futures lost 0.8% to $2,873.90. The dollar index was set for a weekly gain, making dollar-priced gold more expensive for overseas buyers.
No let-up in demand
The demand of gold including over-the-counter (OTC) trading rose by 1% to a record high of 4,974.5 metric tons in 2024 as investment increased, the World Gold Council (WGC) said earlier this month, adding that central banks sped up buying in the fourth quarter.
Central banks, a major source of gold demand, bought more than 1,000 tons of the metal for the third year in a row in 2024.
In the final quarter of 2024, when Trump won the US election, buying by central banks accelerated by 54% year on year to 333 tons, the WGC calculated, based on reported purchases and an estimate of unreported buying.
Total gold demand, excluding opaque OTC trading, rose 1% to 4,553.7 tons last year, the highest since 2022, the WGC said. It estimates that OTC demand fell 7% due to a slump in the final quarter of the year as profit-taking offset persistent demand from high-net-worth investors.
Gold jewellery consumption, the biggest category of physical demand, fell 11% in 2024, while mine production was steady and recycling rose 15%.
The WGC expects jewellery demand to remain under pressure and recycling to rise further this year due to high prices.
