On Tuesday, gold prices had witnessed a modest decline of Rs700, closing at Rs275,000 per tola. However, this dip was short-lived as prices rebounded sharply the following day, reflecting movements in the global market.
After experiencing a decline in the previous session, gold prices in Pakistan surged on Wednesday, reflecting the rise in international rates. In the local market, the price of gold per tola (11.66 grams) increased by Rs2,200, reaching an all-time high of Rs277,200, according to data shared by the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA). This marks the latest record-breaking price for gold in Pakistan.
In the international market, gold prices also rose on Wednesday, driven by easing US Treasury yields and investor anticipation of forthcoming economic data from the United States. According to APGJSA, the international rate for gold was recorded at $2,675 per ounce, with a premium of $20. The price was up by $22 during the day, indicating a broader trend of rising gold values globally.
The increase wasn’t limited to per tola prices, as the price of 10 grams of gold also saw a significant rise. The 10-gram price climbed by Rs1,886 to Rs237,654, further reinforcing the upward trend in the domestic market.
Despite the surge in gold prices, silver remained stable in Pakistan. The price of silver per tola held steady at Rs3,050, showing no significant change in recent sessions.
In September, gold prices in Pakistan had previously reached a then-record high of Rs277,000 per tola, but the latest surge has pushed them to new heights. The domestic market has largely followed global trends, where gold has continued to inch upward.
Globally, the rise in gold prices is attributed to easing US Treasury yields, with investors eagerly awaiting key US economic data, including retail sales, industrial production, and weekly jobless claims, due on Thursday. The data is expected to provide fresh insights into the Federal Reserve’s monetary policy, particularly regarding potential interest rate cuts.
Market participants are pricing in a 97.2% likelihood of a 25 basis-point interest rate cut by the Federal Reserve in November. This anticipation of monetary easing has contributed to gold’s appeal as a safe-haven asset, pushing its prices higher both domestically and internationally.
With market volatility and economic uncertainties remaining, it is expected that gold will continue to be a popular choice for investors seeking stability in their portfolios.
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