March 13, 2024 (MLN): The domestic bullion market snapped a record-breaking run of gains after hotter-than-expected US inflation data.
24-karat gold lost Rs1,800 to Rs228,300 per tola.
Last week, 24-karat gold spiked nearly Rs10,000 per tola to a level not witnessed since September 2023.
The Karachi Sarafa Association reported that the price of 10-gram 24-karat gold reached Rs195,730 per tola, reflecting a drop of Rs1,544.
The price of 10-gram 22-karat gold also saw a slight fall and was quoted at Rs179,420.
Meanwhile, silver prices remained unchanged today, with 24-karat silver being sold at Rs2,600 per tola and Rs2,229.08 per 10-gram.
On the global front, international spot gold traded near $2,159.28 an ounce, after a drop of $24.7 or 1.13% yesterday.
The U.S. consumer price index (CPI) for February 2024 rose by 3.2% YoY, as compared to the 3.1% YoY in January, and higher than the market expectations of 3.1%.
Core CPI rose 3.8% YoY, as compared to 3.9% MoM in the previous month, and above market expectations of 3.7%.
Despite a somewhat hotter inflation report, CME FedWatch Tool still shows a 69.23% chance of an interest rate cut by the US Federal Reserve in June 2024.
