Gold price records slight decrease in Pakistan

Karachi: Gold prices in Pakistan fell on Monday in line with their decrease in the international market. The price of the yellow metal reached Rs356,300 after a loss of Rs100 during the day.

According to the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA), 10-gram gold was sold at Rs305,470 after losing Rs85 per tola.

On Saturday, gold price per tola reached Rs356,400 after a loss of Rs300 during the day..

The international rate of gold decreased lost $1 to settle at $3,336 per ounce.

Meanwhile, gold prices fell to their lowest level in nearly two weeks on Monday, as a framework trade agreement between the United States and European Union ahead of the August 1 tariff deadline boosted appetite for risk assets.

Spot gold was down 0.1% at $3,332.18 per ounce, as of 0208 GMT, after touching its lowest level since July 17. U.S. gold futures edged 0.1% lower to $3,331.60.

The U.S. struck a framework trade agreement with the European Union on Sunday, imposing a 15% import tariff on most EU goods - half the threatened rate - and averting a bigger trade war between the two allies that account for almost a third of global trade.

However, the agreement left key issues unresolved, including tariffs on spirits.

The agreement eased transatlantic trade tensions, putting pressure on gold, said Jigar Trivedi, a senior commodity analyst at Reliance Securities, adding that it also softened the dollar index, which provided some cushion to bullion.

The U.S. dollar index eased 0.1%, making greenback-priced bullion more affordable for overseas buyers.

Risk sentiment improved following the agreement, with European currencies and U.S. stock index futures trading higher.

Meanwhile, senior U.S. and Chinese negotiators are set to meet in Stockholm later in the day to address long-standing economic disputes, seeking to extend a truce that has prevented higher tariffs.

“In the short term, we don’t expect gold to experience wild swings. Investors are turning their focus to a pivotal week for U.S. monetary policy and economic data,” Trivedi said.

The Federal Reserve is expected to maintain its benchmark interest rate in the 4.25%-4.50% range after its two-day policy meeting concludes on Wednesday.

U.S. President Donald Trump said on Friday he had a positive meeting with Powell, suggesting the Fed chief might be inclined to lower interest rates.

Spot silver was up 0.2% at $38.23 per ounce, while platinum gained 0.6% to $1,409.50 and palladium rose 0.6% to $1,227.76.