Karachi, July 14, 2023 – The gold rate in Pakistan experienced a significant increase on Friday, primarily due to the depreciation in the value of the Pakistani Rupee (PKR) against the US dollar.
The local markets saw a sharp decline in the price of 24-karat gold per Tola, which fell by Rs6,500, ending at Rs214,500. Similarly, the price of 24-karat gold per 10 grams slipped by Rs5,574 to close at Rs183,900.
READ MORE: Gold Rate Rises by Rs4,000, Tracking International Markets
Contrary to the local market, the gold rate in the international market remained unchanged at $1,959 per ounce. Experts in the market have attributed the decrease in the local gold rate to the devaluation of the Pakistani Rupee.
In the interbank foreign exchange market, the Pakistani Rupee devalued by PKR 1.13, closing at PKR 277.59 to the US dollar, compared to the previous day’s closing rate of PKR 276.46. The exchange rate between the Pakistani Rupee and the US dollar directly influences gold prices in Pakistan as international gold prices are quoted in US dollars. Thus, fluctuations in the exchange rate can result in changes in the local gold market.
READ MORE: Pakistan Gold Price Eases Amid PKR Gains Value
Market analysts advise investors and individuals interested in purchasing gold to closely monitor international trends and consider the impact of exchange rates on the local gold market. Thorough research and analysis are essential before making any investment decisions related to gold or any other financial instrument.
READ MORE: Gold Drops Massively by Rs4,500 in Anticipation of More PKR Gains
The recent increase in the gold rate highlights the importance of staying informed about economic conditions and market dynamics. Changes in currency exchange rates can have a profound effect on various sectors, including the gold market.
