The price of gold in our country has been going down for the third time in a row. The cost of 24-karat gold, which is a type of pure gold, has fallen by Rs2,000 per tola. Now it’s at Rs241,900 as of Tuesday. Last week, it went down by Rs7,800 per tola to reach Rs244,400, mainly because tensions in the Middle East lessened.
According to the Karachi Sarafa Association, the price of 24-karat gold for every 10 grams is now Rs207,390, which is Rs1,715 less compared to the previous day. Also, the price of 22-karat gold has gone down and is now Rs190,108 for every 10 grams.
On the world stage, the price of gold is currently at $2,316.38, which is 0.82% lower than its last closing price.
Gold prices dropped recently, which might mark the third month in a row of slight decreases, as investors are paying close attention to a meeting of the Federal Reserve this week. The Federal Reserve is expected to adopt a more cautious stance, according to Bloomberg.
The price of gold is around $2,320 per ounce, a bit lower, but still up by about 4% for the month before the Federal Reserve makes its decision on Wednesday.
There’s a belief that due to recent inflation data, the Federal Reserve might change its plans and increase interest rates. This could mean fewer rate cuts than previously thought, which isn’t great news for gold because it doesn’t earn interest.
Gold prices have gone up by more than 12% this year, mainly because of strong demand from Asian countries like China and because of tensions in different parts of the world, like Ukraine and the Middle East.
Central banks have been buying more gold than ever in the first quarter of this year, according to the World Gold Council.
The value of the US dollar has been going down, which usually helps gold because it’s priced in dollars. If the dollar weakens more, gold becomes more attractive to investors.
