Gold rate in Pakistan today: Bullion market opens week with massive gains

Per tola gold rate in Pakistan (24 carats) rose by Rs2,800 to settle at Rs237,600
An undated image of gold bars. — Pixabay

An undated image of gold bars. — Pixabay

Gold price in Pakistan marked a significant uptick on Monday owing to the rupee-dollar fluctuations, persistent winning streak in the international market, and the wedding season awaiting its outset in the country in the coming weeks. 

As per the the data revealed by All-Pakistan Sarafa Gems and Jewellers Association (APSGJA), the per tola gold rate in Pakistan (24 carats) rose by Rs2,800 to settle at Rs237,600; while the 10 grams gold price in Pakistan noted an increase of Rs2,401 at Rs203,704.

Following the suit, data shared by the association also showed that the price of silver per tola and per 10 grams also remained unchanged at Rs2,600 and Rs2,211.93, respectively. Meanwhile, the cost of per ounce gold in the international market jumped by $24 to settle at $2,278.

It's noteworthy that the bullion price in the domestic market undergone an upsurge of Rs6,600 per tola during the past week.

Gold price in Pakistan is announced by the association, which determines gold prices in Pakistan for local markets six days a week from Monday to Saturday.

Pakistan is a small market for gold at the global level. It meets the commodity’s demand through imports as it does not produce the precious metal locally.

Accordingly, the gold rate in Pakistan is determined by keeping in view its prices in world markets, rupee-dollar exchange rate, and demand and supply in domestic markets. The latest price for local markets was determined to keep in view the prices at which trade took place among buyers and sellers.

Gold price in Pakistan has been volatile in Pakistan recently amid continued political and economic uncertainty and high inflation. People prefer to buy this precious commodity in such times as a safe investment and a hedge.

Local dealers believe that the return of inflationary days in Pakistan and worldwide has once again invited investors’ attention towards the yellow metal as safer commodities become attractive at such a time.

On the physical side, demand for gold in Pakistan recently picked up pace as some consumers bought into a retreat in domestic prices as the wedding season will kick off immediately after Ramadan.