Gold price slightly increases in Pakistan

KARACHI: On the final day of the business week, the price of gold in Pakistan witnessed a marginal increase.

According to the Sindh Sarafa Bazaar Association, the price of gold per tola rose by Rs600 to reach Rs208,400 per tola on Friday. The price of 10 grams of gold increased by Rs515, reaching Rs178,670.

This development marks the latest in a series of fluctuations that have characterised the gold market in June and July 2023.

At the start of June, the gold price in Pakistan stood at Rs204,800 per tola, reaching its peak on June 15 at Rs212,500 per tola.

The increase was attributed to the growing demand for gold in the international market, along with the depreciation of the Pakistani rupee against the US dollar.

However, the gold price in Pakistan soon reversed its trajectory and steadily declined for the remainder of June, hitting a low of Rs200,000 per tola on June 30.

The decrease was driven by the easing tensions between the US and Iran, reducing the safe-haven appeal of gold, and the strengthening of the Pakistani rupee against the US dollar.

In July, there was a slight recovery in the gold price in Pakistan, as it rose from Rs200,000 per tola on July 1 to Rs207,800 on July 6.

This increase was fueled by renewed demand for gold in the international market, as investors sought protection against inflation and uncertainty amidst the ongoing political instability in the country.

Currently, the gold rate in Pakistan stands at Rs207,800 per tola for 24k gold, while the rate for 10 grams is Rs178,160.