Investors appear to be using pullbacks in gold prices as selling opportunities for profits after exactly 7 days of prices moving steadily up to its highest level, which showed an increase in the value of the precious metal by Rs6,500 per tola.
According to the All Sindh Saraf and Jewellers Association, gold prices which were rated at Rs98,600 per tola on June 17, jumped to Rs105,100 on June 24.
The international price of an ounce of gold has increased by $62 to $1,777 between June 17 and June 24. However, it has declined by $15 per ounce or Rs2,300 per tola in the local market Thursday.
Gold is rated at Rs102,800 per tola locally and $1,762 per ounce in the international market.
According to MAFA Capital CEO Adnan Agar, this has been a normal phenomenon wherein stockholders taking profits after a surge in gold price by $50 to $60,
He said that profit-taking happens when investors start selling stocks or shares after their value increases.
“I think the outlook for the gold is stable to positive, which depends on a change in the market environment,” Agar said.