As of October 26, 2025, Sunday, gold and silver prices in Pakistan’s leading bullion hubs, including Karachi’s Sarafa Bazaar, showed mixed patterns. Local jewelers noted slight rate differences due to varying taxes and premiums. Earlier in the week, the Gold Rate in Pakistan Today recorded a significant decline, with 24-karat gold per tola falling by several thousand rupees over consecutive days, reflecting the global correction in bullion prices.
The gold rate in Pakistan faced notable volatility this week, mirroring the turbulent trends seen in global precious metals markets. After reaching record-breaking highs earlier in the month, both gold and silver prices in local bullion markets experienced a steep correction, followed by a modest recovery, keeping investors cautious about the next movement.
| Precious Metal | Weight/Carat | Price (PKR) | Change from Previous Close (Approx.) |
| Gold | 24 Karat per Tola | Rs433,662 | +Rs1,800 |
| Gold | 24 Karat per 10 Grams | Rs371,795 | +Rs1,543 |
| Silver | Per Tola | Rs5,124 | +Rs57 |
| Silver | Per 10 Grams | Rs4,393 | +Rs49 |
The downturn was primarily triggered by three major global developments:
- Easing Geopolitical Tensions: Progress in trade talks and reduced conflict risks weakened gold’s safe-haven appeal.
- Stronger US Dollar: As the dollar strengthened, gold became costlier for foreign buyers, lowering international demand.
- Profit Booking: Following gold’s surge beyond $4,000 per ounce globally, investors cashed in profits, leading to a temporary dip.
Despite the early slump, the precious metals market displayed resilience. Gold and silver prices rebounded later in the week as global fluctuations and persistent economic uncertainty sustained investor interest in non-yielding assets.
Key Factors Influencing Gold and Silver Prices in Pakistan
- PKR vs USD Exchange Rate: Since gold is an imported commodity, any depreciation in the Pakistani Rupee[1] directly increases its local price.
- Global Bullion Trends: International gold prices and safe-haven demand remain the main determinants of local rates.
- Industrial Demand for Silver: Silver’s expanding use in solar energy, electric vehicles, and electronics continues to push demand.
- Local Festivals and Demand: Wedding seasons and cultural events add a retail premium to prices in major cities like Karachi, Lahore, and Islamabad.
Investment Outlook
For Pakistani investors, precious metals continue to be a strong hedge against inflation and currency depreciation. Analysts recommend monitoring the US Federal Reserve’s interest rate policy, as lower rates typically favor gold. Meanwhile, ongoing domestic economic challenges are likely to sustain high local demand for both gold and silver.
While short-term volatility is expected, experts believe that the long-term fundamentals, global inflation, high debt levels, and safe-haven demand, will ensure that gold and silver retain their essential position in diversified investment portfolios.
References
- ^ depreciation in the Pakistani Rupee (www.techjuice.pk)