Business Desk 
Mar 21, 2024
Gold prices in Pakistan made major gains on Thursday as rupee depreciated against the US dollar and the precious commodity registerd massive gains in the international market.
The data released by the All-Pakistan Sarafa Gems and Jewellers Association (APSGJA) showed that that the per tola gold price in Pakistan settled at Rs232,400 after an increase of Rs4,600; while the per 10-gram price rose by Rs3,943 to settle at Rs199,245.
In the international market, the price of gold climbed to a record high as the US dollar and bond yields ticked lower after the Federal Reserve maintained its projection of three rate cuts for this year. The prices rose by $47 per ounce to settle at $2,225.
Data shared by the association showed the price of silver per tola gained Rs20 to settle at Rs2,600 and per 10 grams gained Rs17.15 to settle at Rs2,229.08.
It should be noted that 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.
