Gold prices in Pakistan experienced a notable increase on Monday, with the cost of one tola rising by Rs2,000, reflecting a similar upward trend in global bullion rates. The All Pakistan Sarafa Gems and Jewellers’ Association reported that the price of one tola of gold climbed to Rs461,936.
Similarly, the price for 10 grams of gold went up by Rs1,715, reaching Rs396,035. This domestic surge coincided with a $20 rise in international gold prices, which touched $4,395 per ounce.
In addition to gold, silver prices also saw an uptick in the local market. The price of one tola of silver increased by Rs80, settling at Rs7,029.
Notably, gold prices had dropped by Rs500 per tola during the final trading day of the previous week, underscoring ongoing volatility in both Pakistan’s domestic and the global bullion markets.
The fluctuations in gold prices remain influenced by various global economic and financial factors, including uncertainties about the economic outlook, geopolitical tensions, decisions on monetary policy by major central banks, and changes in the US dollar’s value. Movements in international bullion prices are mirrored in Pakistan’s market, with exchange rate variations further impacting local prices.
Meanwhile, the persistently high gold prices continue to suppress demand for jewellery. Traders in the local bullion market observe that consumers are becoming more cautious, often restricting their purchases to essential needs due to the elevated cost of gold.
Jewellers report a significant decline in buying and selling activities, especially among customers purchasing gold for jewellery rather than as an investment.
Market participants remain vigilant, closely watching international gold price trends, fluctuations in the US dollar, and global economic developments to gauge the future direction of bullion prices in the upcoming sessions.
