Gold prices fell in Pakistan on Friday, according to data collected by FXSTERET.
The price of gold stood at 30,599.02 Pakistani rupees (PKR) per gram, a decrease compared to 30,754.37 pkr that cost Thursday.
The price of gold decreased to 356,900.50 pkr per tola from 358,713.00 pkr per tola from the previous day.
| Unit of measure | Gold Price in PKR |
|---|---|
| 1 gram | 30,599.02 |
| 10 grams | 305,989.80 |
| Tola | 356,900.50 |
| Troy ounce | 951,736.80 |
What moves the market today: the price of gold is affected by the reduction of bets to more aggressive feats of the Fed
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The US Federal Reserve (FED) maintained stable interest rates at the end of a two -day meeting on Wednesday, in the midst of concern that the tariffs of US President Donald Trump could increase consumer prices. In the so -called points graph, the Committee projected two feat cuts by the end of 2025. However, Fed officials predicted only a 25 basic points cut in each of 2026 and 2027, in the midst of the risk that inflation can remain persistently high.
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The feeling of global risk remains fragile due to persistent uncertainties related to trade and growing geopolitical tensions in the Middle East. In fact, Trump said earlier this week that tariffs in the pharmaceutical sector will arrive soon. This adds a layer of uncertainty in the markets before the deadline of July 9 for “day of release day” and keeps investors in suspense, which could benefit the price of gold as a safe refuge.
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In the Geopolitical Front, the Air War between Iran and Israel continues for the eighth day in the midst of speculation about a possible US participation according to the president of the US Senate Intelligence Committee, Trump said Trump said he would give Iran the last chance to reach an agreement to end his nuclear program and delay his final decision on the launch of attacks for up to two weeks. This increases the risk of a broader regional war in the Middle East.
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It is observed that the US dollar goes back even more from a maximum of more than a week reached on Thursday, after the hard line of the Fed, which, in turn, could support the merchandise. In addition, the fundamental support of support suggests that the least resistance path for the XAU/USD torque is upward and supports the possibility of purchasing at lower levels for the weekend.
FXSTERET calculates gold prices in Pakistan by adapting international prices (USD/PKR) to the local currency and the units of measure. Prices are updated daily according to market rates taken at the time of publication. Prices are only reference and local rates could diverge slightly.
FAQS GOLD
Gold has played a fundamental role in the history of mankind, since it has been widely used as a deposit of value and a half of exchange. At present, apart from its brightness and use for jewelry, precious metal is considered an active refuge, which means that it is considered a good investment in turbulent times. Gold is also considered a coverage against inflation and depreciation of currencies, since it does not depend on any specific issuer or government.
Central banks are the greatest gold holders. In their objective of supporting their currencies in turbulent times, central banks tend to diversify their reserves and buy gold to improve the perception of strength of the economy and currency. High gold reserves can be a source of trust for the solvency of a country. Central banks added 1,136 tons of gold worth 70,000 million to their reservations in 2022, according to data from the World Gold Council. It is the largest annual purchase since there are records. The central banks of emerging economies such as China, India and Türkiye are rapidly increasing their gold reserves.
Gold has a reverse correlation with the US dollar and US Treasury bonds, which are the main reserve and shelter assets. When the dollar depreciates, the price of gold tends to rise, which allows investors and central banks to diversify their assets in turbulent times. Gold is also inversely correlated with risk assets. A rebound in the stock market tends to weaken the price of gold, while mass sales in higher risk markets tend to favor precious metal.
The price of gold can move due to a wide range of factors. Geopolitical instability or fear of a deep recession can cause the price of gold to rise rapidly due to its condition of active refuge. As an asset without yield, the price of gold tends to rise when interest rates lower, while the money increases to the yellow metal. Even so, most movements depend on how the US dollar (USD) behaves, since the asset is quoted in dollars (Xau/USD). A strong dollar tends to keep the price of gold controlled, while a weakest dollar probably thrusts gold prices.
(An automation tool was used to create this publication.)
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
