Karachi, October 23, 2024 – Gold prices in Pakistan soared to an unprecedented Rs 285,400 per tola on Wednesday, marking another all-time high in the precious metal’s ongoing rally. This remarkable increase of Rs 2,000 from the previous day’s close of Rs 283,400 per tola underscores the relentless upward momentum seen over the past seven sessions in local markets.
Similarly, the price of 24-karat gold per 10 grams rose by Rs 1,714, reaching Rs 244,684, further reflecting the steady ascent of gold prices in Pakistan. The sustained rise in domestic prices is directly linked to global market trends, where the precious metal has been experiencing substantial growth.
Bullion market experts have attributed this surge to multiple factors, most notably the ongoing geopolitical tensions in the Middle East. Escalating conflicts in the region have heightened investor demand for safe-haven assets like gold, causing a ripple effect in global markets. The international price of gold climbed by $20, closing at $2,757 per ounce on Wednesday, up from $2,737 the day before.
The consistent rise in international gold prices has been a major driver for the record-breaking increases in Pakistan. As the precious metal remains a preferred store of value during times of economic uncertainty, investors have turned to gold to hedge against inflation, currency volatility, and geopolitical instability.
In recent weeks, global factors, including the Middle East tensions and fluctuations in international currencies, have made gold even more attractive as a safe-haven asset. These conditions have also fueled demand in the domestic market, as Pakistani investors seek refuge from the volatility of other investment channels, including stocks and the local currency.
Analysts predict that if the current geopolitical and economic conditions persist, gold prices may continue their upward trajectory both internationally and within Pakistan. With inflationary pressures and global uncertainties likely to remain high, gold is expected to maintain its appeal as a secure asset.
In Pakistan, this surge has particularly impacted the local jewelry industry, where the rising cost of raw materials may lead to increased prices for finished products. Despite the steep costs, the demand for gold as an investment continues to rise as citizens seek to safeguard their wealth in the face of mounting economic challenges.
As the global market outlook remains uncertain, the prospect of further increases in gold prices cannot be ruled out, leaving both investors and industry stakeholders to closely monitor the unfolding trends.