High Inflation and Power Bills Lead to Decline in Gold Buying in Karachi

Gold buying remains dull in Karachi amid rising cost of living and declining consumer purchasing power.
Daily gold rate issuance by jewellers association suspended since September 13 after crackdown on gold mafia.
Gold sales facing downward trend for over a year due to rising essential item prices and utility bills.
Consumers selling old gold items to clear inflated power bills.
Traders threaten to expose non-compliant dealers if daily rates not resumed, but no clarity on when it will restart.

dawn.com

Relevant topic timeline:

9/7/2023

Gold Prices Continue Downward Trend in Pakistan, Falling For Fourth Consecutive Day

Gold prices in Pakistan continued to decline for the fourth consecutive day, in line with international rates, as the domestic price of 24 karat gold fell by Rs5,800 per tola and Rs4,972 per 10 grammes to settle at Rs216,500 and Rs185,614 respectively, while the price of silver 24 karat dropped by Rs50 per tola and Rs42.87 per 10 grammes to settle at Rs2,650 and Rs2,271.94 respectively; meanwhile, the rupee gained Rs2.03 against the US dollar in the interbank trading, closing at Rs304.94.

9/29/2023

Gold Prices Continue Selloff After Fed Meeting But Analysts Expect Rebound Soon

Gold prices experienced a significant decline this week due to seasonal factors and options contracts expiring, but analysts expect a rebound in the near term as retail investors remain divided and market dynamics shift with the start of the fourth quarter.

10/2/2023

Precious Metals Prices Fall as Markets Rally on Debt Ceiling Deal

Gold prices decline as the U.S. Congress reaches a short-term deal to avert a government shutdown, leading traders to regain risk appetite and pushing gold to its lowest level since March.

10/6/2023

Pakistan Gold Market Slumps Amid Government Crackdown on Smuggling and Tax Evasion

Pakistan's gold market is experiencing a lack of activity and declining sales due to a government crackdown on smuggling and tax evasion, as well as administrative measures in the currency market that caused the appreciation of the rupee. Gold traders are complaining about the lack of cash in the market and customers are postponing buying due to expectations of further decline in gold prices. Official gold rates have not been released since September 13, leaving consumers feeling confused.

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Posted 10/1/2023, 1:51:38 AM