Karachi, September 6, 2024 – Gold prices surged to Rs 263,500 per tola on Friday, approaching a record high in Pakistan due to rising global markets.
The price of 24-karat gold increased by Rs 1,400 from the previous day’s closing of Rs 262,100, putting it close to the all-time high of Rs 263,700 reached on August 24, 2024.
In addition to the per tola increase, the price of 24-karat gold per 10 grams also saw a significant upswing, climbing by Rs 1,200 to Rs 225,908 from the previous day’s closing of Rs 224,708 in local markets.
Driving Factors Behind the Surge
Bullion market analysts attributed this sharp rise in domestic gold prices to developments in international markets. Globally, gold experienced an increase of $15 per ounce, closing at $2,518 compared to the previous day’s closing price of $2,503. This spike in international prices has directly impacted Pakistan’s gold rates, which often mirror global trends due to the country’s reliance on imported gold.
The rise in global gold prices can be linked to increased demand for safe-haven assets amidst continued economic uncertainties, including inflationary pressures, geopolitical tensions, and fluctuating currency exchange rates. With investors seeking protection from market volatility, gold has become an attractive option, pushing prices to near-record levels both internationally and in Pakistan.
Impact on Local Markets
In Pakistan, the surge in gold prices has made the precious metal increasingly expensive for consumers. Jewelers have reported a dip in demand as higher prices make gold purchases less affordable for many buyers. Additionally, the devaluation of the Pakistani rupee against the US dollar has further intensified the rise in local gold prices, amplifying the impact of global market trends.
Near-Record High
While the current price of Rs 263,500 per tola is just shy of the August 24 record of Rs 263,700, market experts believe that if global economic conditions remain unstable, gold prices could continue to climb, possibly breaking previous records in the coming weeks.
For now, traders and investors are closely monitoring both international market trends and domestic economic factors to gauge the future trajectory of gold prices in Pakistan.
