Gold prices hit fresh high in Pakistan after $70 rise in global market

KARACHI: Gold prices in Pakistan surged sharply on Saturday in line with gains in the international market, with rates in local bullion markets climbing to fresh highs.

According to data released by the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA), the price of gold per tola rose by Rs7,000 to Rs526,962, while the rate for 10 grams increased by Rs6,001 to Rs451,784, according to local traders.

In the international bullion market, gold prices jumped by $70 to reach $5,042 per ounce.

In contrast, silver prices declined in the domestic market. The price of silver per tola fell by 105 rupees to 8,219 rupees, while the rate for 10 grams dropped by 90 rupees to 7,046 rupees.

nalysts say gold remains highly sensitive to fluctuations in international markets, currency movements and investor sentiment. As a globally traded commodity, local prices in Pakistan typically follow international trends, adjusted for exchange rates and import premiums.

Gold continues to play a central role in global financial systems. Central banks maintain bullion reserves as a hedge against currency volatility and as a strategic component of foreign exchange holdings. According to data compiled by Trading Economics, the United States holds the world’s largest gold reserves at approximately 8,133 tons, followed by Germany, Italy and France. Major Asian holders include China and India.

Pakistan’s own gold reserves stand at around 64.77 tons, placing it in the mid-tier globally. While modest compared to leading economies, analysts note that these holdings provide a measure of financial cushioning during periods of global economic uncertainty.

Market participants are urged to watch international price movements closely to gauge whether the latest correction signals short-term volatility or the start of a broader pullback in bullion markets.