Gold prices fall in Pakistan - May 11

KARACHI: Gold prices in Pakistan declined on Monday, May 11, 2026, in line with a downward trend in the international bullion market amid fluctuations in global economic conditions.

According to rates issued by the All Pakistan Sarafa Gems and Jewellers Association, the price of 24-karat gold per tola fell by Rs5,300 to Rs488,362, compared to Rs493,662 in the previous session.

Similarly, the price of 10 grams of 24-karat gold declined by Rs4,544 to Rs418,691 from Rs423,235.

In the international market, gold prices also dropped by $53 per ounce to settle at $4,660, compared to the previous rate of $4,713.

Meanwhile, silver prices remained unchanged at Rs8,513 per tola.

Market analysts attributed the volatility in bullion prices to shifting global geopolitical developments, particularly tensions and diplomatic signals involving the United States and Iran, along with broader economic uncertainty.

The United States and Iran recently exchanged fire in what was described as the most serious test yet of their month-long ceasefire. However, Iran later said the situation had returned to normal, while the US stated it did not seek further escalation.

“The comments from the Trump administration that the ceasefire is holding, along with lingering optimism about a potential US-Iran deal, are supporting the gold market for now,” said Kyle Rodda, senior financial market analyst at Capital.com.

Despite short-term fluctuations, analysts maintained a positive long-term outlook for gold, citing its continued appeal as a safe-haven asset during periods of economic and geopolitical uncertainty.

SILVER RATE – DAILY UPDATES

They added that gold remains attractive due to its intrinsic value, limited supply, and relative independence from government policies, making it an effective hedge against inflation, currency depreciation, and market volatility.

Historically, periods of global uncertainty have driven investors toward bullion while reducing demand for riskier assets such as equities and speculative currencies.

Gold continues to serve both as a traditional ornamental commodity and a key financial safe-haven asset, with demand typically strengthening during times of global instability.