October 24, 2023 (MLN): Domestic bullion remained relatively stable on Tuesday as the price of 24-karat gold price inched down by Rs400 per tola to Rs209,200.
The Karachi Sarafa Association reported that the price of 10-gram 24-karat gold went down by Rs343 to Rs179,355 at closing.
While 10-gram 22-karat gold stood at Rs164,409, down by Rs314 compared to the previous close.
The price of silver remained unchanged in the domestic market, with 24-karat silver and 10-gram 24-karat silver closing at Rs2,550 and Rs2,186.21 respectively.
It is important to mention that in a bid to address the turbulence in the domestic gold market, the president of the All-Pakistan Sarafa Gems and Jewellers Association (APSGJA) reached an agreement with all provinces to charge a premium of $20 on top of the international gold price for a unified domestic gold rate calculations.
The agreement was reached last week, and since then, domestic gold rates have been calculated by adjusting a $20 premium to the international spot gold price.
However, this introduction of the hefty premium has raised significant concerns about the overall stability and transparency of the domestic gold market.
The premium has added to the existing irregularities, causing further doubts about the market's transparency and overall reliability.
To address this, a spokesperson of Karachi Sarafa Association clarified today that the rate for calculating the international gold price includes the adjustment of the $20 premium.
Moreover, the State Bank of Pakistan (SBP) took a significant step earlier this month, authorizing all gold dealers to calculate domestic bullion rates using the interbank exchange rate.
The Karachi Sarafa Association also affirmed its commitment to calculating domestic gold rates based on interbank exchange rates.
On the global front, international spot gold price decreased by 0.35% on the day and is currently trading at $1,966.71.
Meanwhile, the international spot silver is down by 0.48% on the day and is currently trading at $22.87.
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Posted on: 2023-10-24T15:16:05+05:00
