Karachi, November 10, 2023 – Gold rate experienced a notable uptick in Pakistan on Friday, rising by Rs 1,300 per Tola, driven by soaring global prices and the decline of the rupee against the dollar.
The 24-karat gold per Tola witnessed a significant increase from the previous day’s close of Rs 211,800 to reach Rs 213,100 in local markets.
Similarly, the 24-karat gold per 10 grams also saw a substantial rise, gaining Rs 1,114 to conclude at Rs 182,698, up from the last day’s closing of Rs 181,584. Market analysts attribute this surge in gold prices in the domestic markets to the parallel increase observed in the international markets. The global price of gold climbed by $7, reaching $1,975 per ounce, compared to the previous day’s rate of $1,968.
Pakistan’s reliance on importing gold to meet local demand underscores the significant impact of exchange rates on precious metal prices in the country. As global prices increase, the cost of importing gold rises, directly influencing the local market rates.
Meanwhile, the Pakistani Rupee (PKR) has been witnessing a gradual decline over the past couple of weeks. The local currency marked its 13th consecutive decline on November 8, 2023, ending at PKR 286.90 against the US dollar. This depreciation in the rupee’s value contributes to the overall increase in the price of gold in local markets.
The interplay between global and domestic economic factors is crucial in understanding the dynamics of gold prices in Pakistan. Investors and consumers are closely monitoring these fluctuations, considering them when making financial decisions related to the precious metal.
The surge in gold prices serves as a reminder of the intricate relationship between global economic trends, exchange rates, and local market conditions. As the international market continues to influence gold prices, the reliance on imports underscores the vulnerability of local prices to global economic shifts.
The Rs 1,300 increase in gold prices in Pakistan is a direct response to the surge in global prices and the ongoing depreciation of the Pakistani Rupee. The interconnection between these factors emphasizes the need for stakeholders to stay vigilant, as the delicate balance between global dynamics and local conditions plays out in the precious metal market. Investors and consumers alike are advised to stay informed about these market movements to make informed decisions in this ever-changing economic landscape.
