Gold goes down in price even though the world is seeing a big rise in prices.

Price dropped 5,600 rupees per tola; buying remains strong in China and Ghana despite unstable market.

BY Mahnoor | 15-07-2026

KARACHI: Gold prices in Pakistan went down on Tuesday, even though the world market went up more than 2% after US inflation data was better than expected, making people think the Federal Reserve might not be as strict.

The All-Pakistan Gems and Jewellers Sarafa Association said gold per tola was at Rs424,136 after dropping Rs5,600 during the day. The 10-gram price fell Rs4,801 to Rs363,628. On Monday, the per-tola price had closed at Rs429,736 after a drop of Rs3,800. Silver prices in the local market also went down, falling Rs50 to Rs6,289 per tola. The big jump in world prices was mainly due to US inflation data for June that was lower than what the market expected. The main Consumer Price Index cooled to 3.5% from last year, compared to 4.2% in May, while core inflation went down to 2.6%. This improvement, mostly because of a big drop in energy prices, made traders think the Federal Reserve might not raise rates so much. Spot gold went up 1.6% to $4,063.15 per ounce, and US gold futures also went up 1.6% to $4,070.30. The US dollar fell 0.6%, making gold cheaper for people who use other money.

New Fed Chair Kevin Warsh, however, repeated the central bank’s promise to bring inflation back to its 2% goal. This shows leaders are still careful, even after softer price data. Markets are now waiting for the US Producer Price Index data due on Wednesday to get more clues on price trends. Growing tensions between the United States and Iran made gold more attractive as a safe haven. The two countries attacked each other again, raising worries about regional stability and possible problems for ships in the Strait of Hormuz. In the past, such events have helped raise gold prices during times of high uncertainty.

The market got more help from ongoing government buying. Ghana’s Gold Board bought up to 54 tons of gold from small, local miners in the first half of 2026. This sector’s output is expected to match or beat last year’s record, which helps bring in foreign money and supports an economy recovering from its worst financial crisis in decades.

This follows a similar pattern in other developing countries where central banks keep buying gold as a key reserve asset.

China’s central bank bought 15 tonnes of gold, the most in one month since October 2023, continuing its 20-month buying spree. Even though June was weak and wiped out gains from the first half, Chinese gold funds saw strong investments in early 2024. Wholesale demand went up from last month but stayed below the usual 10-year rate because people bought less jewelry.

On Tuesday, the Pakistani rupee closed at 278.01 to the dollar, up one rupee from Monday’s 278.02.

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