Karachi, July 24, 2024 – The gold market in Pakistan witnessed a significant surge on Wednesday as prices climbed by Rs 2,300, reaching an impressive Rs 252,800 per tola.
This rise brings gold closer to its all-time high of Rs 254,000, which was recorded just a week ago on July 18, 2024.
The increase was not limited to per tola prices alone. The gold 24-karat per 10 grams also saw a substantial rise, climbing by Rs 1,972 to hit Rs 216,735 in the local bullion market. This is up from the previous day’s closing price of Rs 241,763, marking a strong upward trend in the domestic bullion market.
Analysts from the bullion market have linked this domestic price hike to movements in the international markets. The global price of gold also experienced an uptick, with the precious metal recording a gain of $22. This rise saw gold prices reaching $2,413 per ounce, up from the previous day’s closing of $2,391 per ounce.
Several factors are driving the current surge in gold prices in the local bullion market. Globally, the economic uncertainty and geopolitical tensions have led investors to flock towards gold, considered a safe-haven asset. This trend has, in turn, influenced domestic markets, pushing prices higher.
Moreover, the local currency’s fluctuations against the US dollar have also played a role in the rising gold prices. As the Pakistani rupee continues to face devaluation pressures, the cost of imported goods, including gold, has increased, contributing to the higher prices in the local bullion market.
Market experts suggest that the current trend might persist if the international gold prices continue to rise and the local currency remains under pressure. They advise investors to stay informed and cautious, given the volatile nature of both the international and domestic markets.
The recent surge in gold prices has also sparked interest among local investors, with many considering it a viable investment option amidst the ongoing economic uncertainties. Jewelers in Karachi reported increased foot traffic and higher sales volumes, indicating a robust demand for gold.
As the market dynamics continue to evolve, both traders and investors are keenly observing the developments. The interplay between global market trends and local economic factors will likely dictate the direction of gold prices in the coming days.
For now, the bullion market in Pakistan remains buoyant, with gold prices nearing historic highs. This rise not only reflects the global economic sentiments but also underscores the local market’s sensitivity to international price movements.