Gold prices continued their decline on Monday, falling for the third straight session as the US dollar held near a six-month high, putting pressure on the precious metal. At 10:37 am PST, spot gold was trading at $4,044.24 per ounce, down 0.48 percent from previous levels. The strong dollar has made gold more expensive for international buyers, prompting selling in the market. Traders are also keeping a close eye on the Federal Reserve, waiting for signals on the future of interest rates. Investor expectations for a potential rate cut next month eased slightly to 69 percent from 74 percent, according to the CME FedWatch Tool. Earlier in the week, hopes of a rate cut had surged from 40 percent following dovish remarks from New York Fed President John Williams. Yet, other Fed officials sounded a more cautious note. Dallas Fed President Lorie Logan suggested maintaining the policy rate “for a time,” while the Chicago and Cleveland Fed presidents warned that premature cuts could pose risks to economic stability. Geopolitical developments added further complexity to markets. The US and Ukraine resumed talks on Monday aimed at ending the war with Russia, following revisions to a previously criticised proposal seen as too favourable to Moscow. In other precious metals, spot silver remained steady at $49.98 per ounce. Platinum rose 1.5 percent to $1,533.20, while palladium gained 1.3 percent to $1,392.21. Gold price in Pakistan Despite the global decline, gold prices in Pakistan rose on Saturday, mirroring earlier international gains. The price of gold per tola increased by Rs2,300 to reach Rs428,862. Ten-gram gold was sold at Rs367,680, up Rs1,972 compared with Friday, when gold per tola remained stable at Rs426,562. The international price of gold had risen by $23 to $4,065 per ounce, with an additional premium of $20 in local markets. Silver prices also climbed, increasing by Rs48 to Rs5,270 per tola, according to the All-Pakistan Gems and Jewellers Sarafa Association. Market analysts suggest that while local prices are influenced by international trends, currency fluctuations and local demand also play a significant role in driving short-term movements.
Third-day decline, gold prices weaken on rising dollar
