Gold price in Pakistan has dropped down by Rs.2350 as of yesterday i.e. Tuesday. With this drop in price, a tola of gold can currently be traded at Rs.110,500.
A day before this, price were yet again lowered. There was a drop of Rs.450 on the day before this.
Gold prices in Pakistan are directly correlated with the prices of gold in the international world. Recently when an announcement of a successful vaccine was made, it had led to a sudden decrease in the prices of gold worldwide which in turn led to a decrease in gold price in Pakistan as well.
In the conditions of uncertainty, the prices of precious metals fall down. When there is a signal that some stable conditions are coming ahead in the near future, the prices are lowered.
It has been reported that these current drop in prices of gold are apparently a reaction to the news of successful coronavirus vaccine.
The condition of world economy is associated with investment in the metals. When the conditions are unfavorable for the economy, investment in metal goes high whereas when the conditions seems to be stable for the economy, investors tend to move away from the metals.
When different countries started to impose lockdown in March due to Covid-19, the prices of gold eventually started to rise.
