LAHORE: Gold prices in Pakistan fell on Friday after hitting fresh highs a day earlier, as a decline in international bullion markets pushed local rates lower following a sharp rally.

According to the All Pakistan Gems and Jewellers Association, the price of gold per tola dropped by Rs2,700 to settle at Rs494,062 in the domestic market.

The decline came a day after gold prices surged by Rs7,800 per tola on Thursday, when 24-karat gold climbed to a record Rs496,762 in local markets amid strong gains in global bullion prices.

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The price of 10 grams of gold also decreased by Rs2,315 on Friday, settling at Rs423,578.

In the international market, gold prices fell by $27 per ounce to $4,717, contributing to the downward trend in Pakistan’s bullion market.

Meanwhile, silver prices continued to rise locally. The price of silver per tola increased by Rs80 to reach Rs8,525.

Bullion traders said fluctuations in international gold prices, currency movements and investor sentiment continue to drive volatility in local precious metal markets.

Gold prices in Pakistan have remained highly volatile in recent weeks due to shifting global economic conditions and changing demand patterns in international commodity markets.