GOLD PER TOLA RATE IN PAKISTAN: The current gold rate per tola in Pakistan as of Thursday, October 10, 2024, is Rs 271,200.
24 carat gold was sold for Rs. 271,200 per tola on Thursday, down Rs. 500 from the previous trading day’s sale price of Rs. 271,700.
The price of ten grams of 24 carat gold dropped from Rs. 232,939 to Rs. 232,510, while the price of ten grams of 22 carat gold dropped from Rs. 213, 527 to Rs. 213, 134, according to the All Sindh Sarafa Jewellers Association. At Rs. 2,614.88, for ten grams and Rs. 3,050 per tola, the prices of silver stayed the same.
The Association said that the price of gold on the global market dropped by $4, to $2,613 from $2,617.
A day earlier Gold prices in Pakistan fell from near-peak levels on Wednesday, with 24-karat gold being sold at Rs271,700 per tola, marking a Rs3,000 decrease. The drop comes as international gold prices softened, with spot gold trading near $2,619 an ounce, down $3.2 or 0.12% from the previous session.
Gold (XAU/USD) saw some modest buying on Thursday, halting a six-day losing streak that pushed it to a nearly three-week low around $2,604-$2,605. However, the recovery lacks strong bullish momentum, as rising expectations of a 25 basis points (bps) interest rate cut by the Federal Reserve in November support the US dollar’s recent gains to an eight-week high. This strength in the dollar continues to weigh on the non-yielding yellow metal.
Investors are adopting a cautious stance ahead of the crucial US Consumer Price Index (CPI) report, which could shape market expectations about the size of the Fed’s rate cut. Any surprising inflation data could influence US dollar demand and impact the gold price. Additionally, geopolitical tensions in the Middle East are adding to the uncertainty, with potential for short-term gains in the safe-haven asset depending on developments.
Key Market Insights:
- Federal Reserve Outlook: The release of the September FOMC minutes showed a split in opinions on interest rate cuts, with some favoring a larger 50 bps cut and others preferring a more conservative 25 bps cut due to concerns about inflation, strong economic growth, and low unemployment.
- Bond Yields: US bond yields surged, with the two-year yield reaching its highest level since mid-August and the 10-year yield climbing to levels not seen since the end of July, supporting the US dollar.
- Geopolitical Risks: Rising tensions between Israel and Iran could provide further support to gold prices, with Israel threatening a significant military strike, raising global uncertainty and potentially driving safe-haven demand for gold.
Technical Outlook:
Gold’s price remains under pressure after breaking below the $2,630 mark earlier in the week, signaling potential for further downside. A break below $2,600 could accelerate the corrective decline, with the next support levels seen near $2,560, followed by the $2,530-$2,535 region, and eventually $2,500.
On the upside, the $2,630-$2,635 zone now acts as immediate resistance. A move above this range could attract sellers near the $2,657-$2,658 level, while sustained strength beyond $2,670-$2,672 could push gold towards the all-time high of $2,685-$2,686, with $2,700 being a key psychological target for bulls.
Conclusion:
Gold prices might struggle to gain traction in the short term, especially if upcoming US inflation data reinforces the Fed’s cautious stance on rate cuts. A break below $2,600 could lead to further losses, while geopolitical risks and bond market movements will be closely watched for any shifts in safe-haven demand.
