Gold prices in Pakistan rebounded sharply on September 16, rising by Rs7,900 per tola as international bullion prices climbed back above $4,300 an ounce.
Gold prices in Pakistan recorded a strong recovery on Wednesday, with the price of 24-karat gold rising Rs7,900 per tola to Rs457,236, according to the All Pakistan Gems and Jewellers Association. The increase followed the previous session’s closing price of Rs449,336 per tola.
The price of 24-karat gold also rose in the 10-gram category. It increased by Rs6,773 to Rs392,006, compared with the previous closing price of Rs385,233.
The rise in the domestic market came as international gold prices also recovered. Global bullion increased by $79 per ounce to $4,347, up from the previous session’s close of $4,268.
Gold Rebounds Above $4,300
International gold prices moved back above the $4,300 mark after two consecutive sessions of losses. The recovery came as momentum in oil prices and global bond yields eased ahead of the latest US Federal Reserve policy decision.
Oil prices retreated from recent multi-month highs after a surprise increase in US crude inventories. However, ongoing supply disruptions in the Middle East continued to provide support to energy prices.
Meanwhile, global bond yields stabilised following their recent increase, with investors turning their attention towards several major central bank policy decisions scheduled for this week.
Markets Await Central Bank Decisions
The US Federal Reserve is widely expected to raise interest rates by 25 basis points, which would mark its first rate increase in around three years. Investors are also watching policymakers’ guidance for clues about the possibility of another rate increase later this year, with October or December being closely monitored.
The Bank of Japan is also expected to raise borrowing costs this week, while the Bank of England is expected to keep interest rates unchanged.
The combination of shifting oil prices, bond yields and expectations surrounding central bank policies remains a key driver for international gold prices and, consequently, domestic bullion rates.
Gold Price in Pakistan
| Category | September 15 | September 16 | Change |
| 24K Gold per Tola | Rs449,336 | Rs457,236 | +Rs7,900 |
| 24K Gold per 10g | Rs385,233 | Rs392,006 | +Rs6,773 |
| International Gold | $4,268/oz | $4,347/oz | +$79 |