The price of gold in Pakistan’s domestic market experienced an upward shift on Monday, following a turbulent week. The cost of one tola of gold rose by Rs800, settling at Rs209,000, according to data from the All-Pakistan Sarafa Gems and Jewellers Association (APSGJA). Additionally, the price of 10 grams of 24-carat gold also saw an increase, rising by Rs686 to reach Rs179,184.
Despite these changes in the domestic market, the international gold market remained stable, with the price of the precious metal holding steady at $1,925 per ounce. In contrast to gold, the prices of silver in the domestic market remained unchanged, with one tola and ten grams of silver priced at Rs2,480 and Rs2,126.20 respectively.
The Pakistani rupee, however, continued to face pressure against the US dollar in the inter-bank market at the start of the week. During the early trading hours on Monday, the local currency recorded a minor decline against the US dollar, depreciating by 0.05 percent. The PKR was traded at 278.05, marking a loss of Rs0.15. This comes after the rupee had seen considerable gains against the US dollar the previous week, buoyed by a Stand-By Arrangement (SBA) with the International Monetary Fund (IMF).
In the open market, the Pakistani rupee fluctuated between 279 and 282, while it settled at 277.9 in the interbank. Meanwhile, the foreign currency exchange rates for other currencies such as the Euro, UK Pound Sterling, U.A.E. Dirham, Saudi Riyal, and others were also updated on July 10, 2023.
This surge in gold prices is noteworthy, reflecting the dynamic nature of the commodities market. It remains to be seen how this will impact the broader economic landscape in Pakistan, particularly in relation to the performance of the Pakistani rupee.