Gold rate in Pakistan today: Bullion price jumps over 1% as demand picks up pace

In the international market, the price of per ounce gold scales up to an all-time high of $2,254
An undated image of gold bangles. — Pixabay
An undated image of gold bangles. — Pixabay

Gold prices jumped in Pakistan on Friday as demand for the safe-haven metal was boosted by seasonal demand as people rush to purchase yellow metal in the last few days of Ramadan as wedding season is about to begin.

According to the data released by All-Pakistan Sarafa Gems and Jewellers Association (APSGJA), the per tola gold rate in Pakistan (24 carats) jumped by Rs3,800 to settle at Rs234,800; while the 10 grams gold price in Pakistan rose by Rs3,258 to settle at Rs201,303.

In the international market, the price of per ounce gold scaled up to an all-time high of $2,254 after an increase of $40.

Meanwhile, data shared by the association also showed that the price of silver per tola and per 10 grams also rose by Rs20 and Rs17.15 to settle at at Rs2,580 and Rs2,211.93, respectively.

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.