Gold prices have declined once again in both global and local markets today, following a one-day surge.

The international bullion market saw the price drop by $23 per ounce, reaching $3,235 per ounce.

According to All Pakistan Sarafa Gems and Jewellers Association (APSGJA), the global dip impacted the local market in Pakistan, where per tola gold (11.66 grams) fell by Rs2,300, bringing the price to Rs341,900.

Similarly, the price of 10 grams of gold dropped by Rs1,972, now standing at Rs293,124.

Meanwhile, yesterday the price of gold rose by Rs3,700 per tola, reaching Rs344,200 in the local market.

Gold prices fell on Wednesday as easing US-China trade tensions soothed fears of a potential global recession, boosting investors' appetite for risk and weighing on bullion's safe-haven appeal.

Spot gold fell 0.4% to $3,233.26 an ounce, as of 1010 GMT. Prices scaled a record high of $3,500.05 last month amid elevated trade war fears.

US gold futures eased 0.3% to $3,236.70.

The US and China agreed to a 90-day suspension of reciprocal tariffs following discussions in Geneva over the weekend, with the US planning to reduce the "de minimus" tariff for low-value shipments from China to 30%, according to a White House executive order and industry experts.

"After the tariff truce announced over the weekend, we've seen stock markets surge higher, and at least in the short term, this has removed some of the safe haven focus that has helped propel gold to record highs in recent months," said Ole Hansen, head of commodity strategy at Saxo Bank.