Karachi, October 30, 2024 – Gold prices in Pakistan reached an unprecedented high on Tuesday, surging to Rs 287,900 per tola due to persistent volatility in international markets and geopolitical uncertainties.
The 24-karat gold per tola saw a significant rise of Rs 2,900 from the previous day’s closing price of Rs 285,000 in the local market. This recent peak surpasses the previous record of Rs 285,400, which was set on October 23, 2024, reflecting a notable upward trend in precious metal valuations domestically.
Alongside the surge in tola rates, gold per 10 grams in the 24-karat category also spiked, increasing by Rs 2,486 to reach Rs 246,825, up from the previous day’s closing at Rs 244,342. The sharp incline has sparked concerns among investors and economists alike, as rising gold prices often reflect growing risk aversion and can signal economic instability.
Experts in the bullion market have attributed the rapid escalation in domestic gold prices to pressures emanating from the international markets, which have been highly sensitive to ongoing conflicts and inflationary risks. Global gold prices also rose substantially, with the price per ounce increasing by $29, climbing from $2,765 to $2,784. Analysts note that such price fluctuations in the international market are largely driven by the recent geopolitical tensions in the Middle East, particularly the escalating crisis that has intensified market anxiety and propelled safe-haven demand for assets like gold.
The escalation in global gold prices has had an immediate ripple effect on Pakistan’s local market, where import-dependent pricing has made it particularly sensitive to international shifts. Market analysts suggest that the latest peak in gold rates could continue climbing if global instability persists, particularly given the fragility of international economic conditions.
Amidst these challenges, the surge in gold prices has added to inflationary pressures in Pakistan, with ripple effects likely to impact sectors ranging from jewelry manufacturing to retail. Gold has traditionally been a favored asset among Pakistani investors as a safeguard against currency depreciation, yet the recent price levels may deter average buyers, as affordability constraints grow more pronounced.
While some investors view gold’s soaring value as a protective measure against economic turmoil, others express concerns about the impact on consumer spending and economic growth. Given the ongoing uncertainty in global markets, further fluctuations in gold prices are anticipated, leaving consumers and investors in a precarious position as they monitor the volatile landscape. The persistence of high prices is expected to continue shaping investment strategies in Pakistan, as economic volatility redefines asset preferences across the board.