On the first business day of the week, gold prices in Pakistan experienced a notable surge. The price of gold per tola rose by Rs1,600, closing at Rs214,800. This increase was mirrored in the price of 10 grams of 24-carat gold, which saw an uptick of Rs1,371, settling at Rs184,156. These figures were reported by the All-Pakistan Sarafa Gems and Jewellers Association (APSGJA).
This upward trend in gold prices coincided with the Pakistani rupee losing ground against the US dollar in the domestic market. The local currency was traded at 278.05 in the inter-bank market during intra-day trading, marking a decrease of Rs0.46 from the opening hours of the first working day of the week.
Despite this, the Pakistani rupee had closed with a slight appreciation at 277.59 the previous week, following the inflow of funds from the International Monetary Fund (IMF) program. The crisis-stricken country received around $4.2 billion, including the first tranche of the new SBA with the US-based lender.
On the international front, the price of the precious metal also increased, albeit marginally. The cost of gold went up by $2, closing at $1,957 per ounce. However, the price of silver remained steady in the domestic market, with per tola and 10-gram silver staying constant at Rs2480 and Rs2,126.20, respectively.
Across various cities in Pakistan, including Lahore, Karachi, Islamabad, Peshawar, and Quetta, among others, the price of a single tola of 24-karat gold was consistent at PKR 213,000. The rates provided by local gold markets and Sarafa Markets of different cities fluctuate according to the international market, meaning the price is never fixed.
As the economic landscape continues to shift, stakeholders will be keeping a close eye on these trends, particularly the performance of the rupee against the US dollar and its impact on gold prices.