The price of 24-karat gold fell sharply by Rs2,500 on Thursday, trading at Rs407,778 per tola compared to Rs410,278 a day earlier.
According to the All Pakistan Sarafa Gems and Jewellers Association, the rate of 10 grams of 24-karat gold dropped by Rs2,144 to Rs349,603 from Rs351,747.
Meanwhile, 10 grams of 22-karat gold slipped by Rs1,965, settling at Rs320,481 against Rs322,446 previously.
In the global market, gold prices also declined by $25, bringing the rate down to $3,865 per ounce from $3,890.
Silver, however, posted slight gains. The price of 24-karat silver rose by Rs13 per tola to Rs4,839, while 10 grams climbed by Rs11 to Rs4,148. International silver prices also inched up by $0.13, reaching $47.40 per ounce.