Karachi, July 12, 2024 – The price of gold in Pakistan continued its upward trend for the third consecutive day, reaching Rs 249,000 per tola (11.66 grams) in local markets on Friday. This represents an increase of Rs 2,200 from the previous day’s closing price of Rs 246,800. Overall, gold prices have risen by Rs 4,000 in the past three trading sessions.
The price of 24-karat gold per 10 grams also witnessed a rise, reaching Rs 213,477. This is an increase of Rs 1,886 compared to the previous day’s closing of Rs 211,591. Analysts attribute this surge in domestic gold prices to rising trends in the international market. The global price of gold climbed $24 to close at $2,404 per ounce on Friday, up from $2,380 the previous day.
Several factors are driving the recent increase in gold prices in Pakistan. Firstly, the global gold market has been experiencing a surge, which directly impacts local prices. As international investors seek safe-haven assets amid global economic uncertainties, the demand for gold has significantly increased, pushing prices upward. The ongoing geopolitical tensions, particularly in Eastern Europe and the Middle East, have further fueled the demand for gold as a secure investment.
Domestically, the rising gold prices can also be attributed to the increased demand for the precious metal within Pakistan. With the upcoming festive season, which includes Eid-ul-Adha, there is traditionally a spike in gold purchases for gifts and ornaments. This seasonal demand has added upward pressure on gold prices.
Furthermore, the depreciation of the Pakistani rupee against the US dollar has made gold more expensive in the local market. As the rupee weakens, the cost of importing gold increases, which is then reflected in the higher prices for consumers.
Market experts believe that the trend of rising gold prices may continue in the near term. Investors are closely monitoring global economic indicators, including inflation rates and interest rates, which could influence gold prices further. In Pakistan, any changes in the exchange rate and political stability will also play a crucial role in determining the future trajectory of gold prices.
For consumers, the continuous rise in gold prices may lead to a cautious approach in purchasing, particularly for those considering gold as an investment. However, for those looking to buy gold for traditional and cultural reasons, the demand is expected to remain robust despite the higher prices.
As gold prices continue to climb, both globally and locally, investors and consumers alike will be keeping a close watch on the market trends and economic factors that influence these precious metal prices.