KARACHI, March 20: The local gold price on Thursday plunged by Rs1,672 to Rs18,770 per 10 grams from Rs20,442 a day earlier following a sharp decline in international gold rates.

On the London Bullion Market, the price of gold stood at $925.75 per ounce, down from $958.50 late on Wednesday.

On March 17, local gold price hit a record peak of Rs20,657 per 10 grams while per tola rate was quoted at Rs24,100 on the back of record world gold price of $1,024 per ounce.

Now the one tola gold bar carries price tag of Rs21,900.

“Investors have become cautious after a steep fall in domestic gold prices,” All Karachi Jewellers Group president Haji Haroon Rasheed Chand said. However, some investors would continue lifting gold bars in anticipation of any future price increase, he added.