Gold Prices Hit Record High in Pakistan as Global Rates Surge
Description
Gold prices soared to record highs in Pakistan as international bullion rates surged, with local markets hitting Rs367,400 per tola.
Gold Prices Surge Globally and Domestically
Gold prices soared on Saturday, breaking records both in the international bullion market and in Pakistan’s local markets.
According to global trading data, international gold prices rose by USD 36 per ounce, reaching $3,447 per ounce, the highest level since mid-July. Following this sharp rally, local bullion markets in Pakistan mirrored the surge, sending prices to unprecedented levels.
The All Pakistan Gems and Jewellers Association (APGJA) confirmed that the price of 24-karat gold increased by Rs3,600 per tola, hitting Rs367,400 — an all-time high. Similarly, the price of 10 grams of gold jumped by Rs3,172, reaching Rs314,986.
“The momentum in international bullion is directly driving domestic prices. Investors are moving toward safe-haven assets amid global uncertainties,” said a bullion trader in Karachi.
Key Talking Points
- International gold price jumped to $3,447 per ounce.
- Pakistan gold price surged Rs3,600 per tola, reaching Rs367,400.
- Price of 10 grams gold rose to Rs314,986.
- Spot silver and platinum also gained, while palladium remained flat.
- Investors flock to gold as a safe-haven amid global economic uncertainty.
Global Gold Market Trends
On Friday, spot gold was already climbing, closing 0.8% higher at $3,443.19 per ounce, the strongest rally since July 17. This marked a 4.7% gain in August, showing a steady upward momentum.
Other precious metals also followed suit:
- Silver prices gained 1.7%, trading at $39.77 per ounce.
- Platinum edged up 0.3% to $1,362.86 per ounce, with monthly gains intact.
- Palladium prices remained flat at $1,102.08, on track for a monthly loss.
For a broader look at international precious metals movement, readers can check the World Gold Council market insights.
Pakistan Gold Prices Reach Historic Levels
The surge in international bullion directly impacted local markets. In Pakistan:
- Gold per tola: Rs367,400 (+Rs3,600).
- Gold per 10 grams: Rs314,986 (+Rs3,172).
This is the highest-ever gold price recorded in the country, reflecting both global demand and local currency pressures. Analysts believe that the Pakistani rupee’s depreciation, coupled with import costs, has magnified the domestic rally.
Jewellers across Karachi, Lahore, and Islamabad reported slowed buying activity, as retail customers struggle with soaring costs, while investors continue to accumulate gold for wealth preservation.
Why Are Gold Prices Rising?
The sharp rise in gold prices can be linked to several global and domestic factors:
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Global Economic Uncertainty:
Rising inflationary pressures, central bank policies, and fears of global recession push investors toward gold. -
Currency Depreciation:
The weakening of the Pakistani rupee against the US dollar has magnified price hikes locally. -
Geopolitical Tensions:
Ongoing conflicts and trade disputes have added to global instability, increasing gold’s safe-haven appeal. -
Supply-Demand Dynamics:
With strong demand from investors and central banks, bullion markets remain bullish.
In times of crisis, gold is not just a metal — it is wealth insurance.
Impact on Investors and Consumers
For Pakistani investors, the record-breaking surge has reaffirmed gold’s role as a safe-haven investment. Those who purchased earlier this year are witnessing significant gains, while new buyers are entering cautiously due to the elevated price levels.
However, for ordinary consumers, especially brides-to-be and jewellery buyers, the soaring rates have made gold increasingly unaffordable. Jewellers predict a further slowdown in wedding-season purchases unless prices stabilize.
Market Outlook: Will Gold Continue to Rise?
Market analysts suggest that bullion could continue climbing if economic pressures persist. With the US Federal Reserve’s cautious stance on interest rates, the dollar remains under pressure, which historically benefits gold.
If global instability deepens, gold could break past $3,500 per ounce internationally, pushing Pakistan’s local rates even higher.
However, if inflation eases and investor sentiment shifts toward equities, prices may see temporary corrections.
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