Gold prices in Pakistan recorded their steepest-ever single-day decline on Friday, with the 10-gram and one-tola (24-karat) rates plunging by Rs30,435 and Rs35,500 to Rs460,701 and Rs537,362, respectively.
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Silver prices also witnessed a sharp fall, with 10-gram and one-tola rates dropping by Rs949 and Rs1,106 to Rs9,489 and Rs11,069.
According to rates issued by the All Pakistan Sarafa Gems and Jewellers Association (APSGJA), global gold prices suffered a historic crash, falling by a record $355 per ounce to $5,150 in a single day. APSGJA President Muhammad Shikarpuri termed it the biggest plunge of his career spanning more than five decades in the gold trade, stating that such a sudden drop had never been witnessed before.
In the international market, spot gold fell 8.9 per cent to $4,915.17 per ounce, marking its worst single-day decline since 1983, while silver crashed 21.92 per cent to $90.66 per ounce, its biggest daily fall on record. Platinum and palladium also suffered heavy losses, dropping 18 per cent and 13.7 per cent, respectively.
Analysts attributed the massive sell-off to profit-taking, strengthening of the US dollar, and investor reaction following the announcement of Kevin Warsh as the new nominee for Federal Reserve Chair by former US President Donald Trump. The stronger dollar made gold more expensive for overseas buyers, triggering large-scale selling across precious metals.
Market experts said that despite the sharp decline, gold remains unaffordable for many jewellery buyers in Pakistan, while investors have suffered significant losses due to the sudden price correction. Jewellery markets across major cities continue to witness low footfall, reflecting weak consumer demand.
Meanwhile, international analysts noted that despite short-term volatility, gold continues to be viewed globally as a long-term strategic asset amid policy uncertainty, rising debt levels, and geopolitical risks.
