Gold loses traction, price declines by Rs800 per tola

• Gold price settles at Rs147,300 per tola.
• Trend of gold is related to rupee-dollar parity.
• Silver prices decline by Rs10 per tola.

KARACHI: Gold price in Pakistan broke its three-day-long winning streak as price declined by Rs800 per tola.

The gold price declined by Rs800 per tola and Rs686 per 10 grams to settle at Rs147,300 and Rs126,286, data released by the All Pakistan Sarafa Gems and Jewellers Association (APSGJA) showed.

The trend of gold is mostly related to rupee-dollar parity, and international gold prices have been a bearish catalyst for bullion.

Pakistan meets almost all its gold demand through imports, and traders follow its international price in setting rates in the country. Jewellers import the metal against the US dollar and UAE dirham before converting its price into rupees.

In the international market, the price of yellow metal declined by $20 per ounce to settle at $1,656.

Gold rates in Pakistan are around Rs2,600 below the cost compared to the rate in the Dubai market.

Meanwhile, silver prices in the domestic market declined by Rs10 per tola and Rs8.58 per 10 grams to settle at Rs1,570 and Rs1,346.02.