Gold, Silver Prices Rise Further in Pakistan
News Desk
Karachi: Gold prices in Pakistan continued their sharp upward trend on Friday, with the precious metal gaining another Rs5,100 per tola as investors responded to a strong rally in international bullion markets.
The latest increase pushed the domestic gold price to Rs454,336 per tola, while the price of 10 grams climbed Rs4,372 to Rs389,519.
Silver also followed the upward trend, rising Rs280 per tola to Rs6,939.
Friday’s increase extended gold’s three-day rally, during which the price of the precious metal has jumped by Rs26,400 per tola in Pakistan.
The surge comes as international gold prices reached a seven-week high, supported by growing investor demand for safe-haven assets and expectations surrounding US monetary policy.
According to Reuters, spot gold rose 2.4% to $4,341.69 an ounce by 1457 GMT after briefly gaining more than 3% to reach its highest level since June 17.
The international rally was triggered in part by weaker-than-expected US employment data. US non-farm payrolls fell by 23,000 jobs in July after recording a downwardly revised increase of 20,000 in June, according to the US Bureau of Labor Statistics.
The weaker employment figures have strengthened expectations that the US Federal Reserve could adopt a more accommodative monetary policy, increasing the appeal of non-yielding assets such as gold.
Market participants are also closely monitoring developments in the Middle East, fluctuations in oil prices and other key US economic indicators, all of which have contributed to volatility in precious metals markets.
Currency movements have also influenced local bullion prices. In Pakistan, the rupee recorded a marginal improvement against the US dollar on Friday, closing at 277.71 compared with 277.72 in the previous session.
Despite the slight strengthening of the rupee, the international rally in gold was strong enough to push domestic bullion prices significantly higher.
Analysts and investors are now watching whether the global factors driving the latest gold rally will continue to support prices in the local market in the coming sessions.
