Gold prices in Pakistan fell on Monday, based on data compiled by FXStreet. Gold was priced at PKR 41,301.61 per gram, down from PKR 41,357.44 on Friday.
Gold also dropped to PKR 481,733.80 per tola from PKR 482,385.10 per tola on Friday. Other listed prices were PKR 413,016.00 for 10 grams and PKR 1,284,624.00 per troy ounce.
Pakistan Gold Prices Methodology
FXStreet derives Pakistan gold prices by converting international prices using the USD/PKR exchange rate and local measurement units. The figures are updated daily at the time of publication and are for reference, as local rates may differ.
Central banks are the largest holders of gold and added 1,136 tonnes worth about $70 billion in 2022, according to the World Gold Council. This was the highest annual purchase since records began, with rising reserves noted in China, India and Turkey.
Gold often moves inversely to the US Dollar and US Treasuries, and can also move opposite to risk assets such as equities. Prices may also shift with geopolitical tension, recession concerns, and changes in interest rates, as gold has no yield.
We see the recent dip in gold prices as a potential entry point rather than a sign of weakness. Geopolitical instability remains a key factor, with ongoing maritime trade tensions providing a solid backdrop for gold’s safe-haven appeal. These situations often cause traders to seek safety in tangible assets over currencies.
Drivers To Watch
The strong demand from central banks continues to provide a solid floor for prices. According to the latest World Gold Council data for the first quarter of 2026, central banks globally added a net 290 tonnes to their reserves, marking the strongest start to a year on record. This persistent buying from emerging market banks, a trend we’ve seen grow since 2022, signals a continued strategic shift away from the US Dollar.
We should also consider the inverse relationship with the US Dollar, which has softened in recent weeks. After the US non-farm payrolls report for April came in below expectations at 175,000, market expectations for a Federal Reserve rate cut later this year have increased. A lower interest rate environment makes non-yielding gold a more attractive asset for traders to hold.
Looking back, the market volatility we witnessed in the second half of 2025 taught us how quickly capital can shift into gold during periods of uncertainty. The S&P 500’s recent 3% pullback from its highs last month is triggering a similar defensive rotation, suggesting that call options on gold could be a sensible strategy. This indicates a heightened sensitivity to risk among investors compared to previous years.
Gold remains a vital hedge against inflation and currency depreciation. While the latest CPI data showed inflation moderating to 3.1%, it is still well above the central bank’s target, which keeps the risk of eroding purchasing power in focus. This fundamental concern should support a steady, underlying demand for physical gold and related derivatives.
