According to data released by the Gems and Jewellers Association, the price of one tola of gold fell to Rs457,536 after the latest decline.
The price of 10 grams of gold also decreased by Rs2,315, reaching Rs392,263. Gold prices also declined in the international market, where the price fell by $27 to $4,350 per ounce.
The latest decline follows a Rs100 drop in the price of one tola of gold recorded on Saturday. Gold prices have remained under pressure amid fluctuations in oil prices and concerns over rising inflation.
Major central banks have also taken steps on interest rates. The Bank of Japan raised rates last week, while the US Federal Reserve and European Central Bank had previously increased rates.
Gold is generally considered a hedge against inflation. However, higher interest rates can reduce demand for the precious metal as investors may shift towards assets offering interest or other returns.
