Gold prices in Pakistan surge again; analysts focus on global volatility

KARACHI: Gold in Pakistan continues to climb, with prices rising by thousands of rupees per tola, traders reported on Tuesday. According to the Sarafa Bazaar Association, the price of gold per tola increased by Rs 4,300, reaching a record high of Rs 493,662. Similarly, 10 grams of gold rose by Rs 3,686, now priced at Rs 423,235.

Market analysts attribute the surge to strong global demand for gold, fluctuations in international prices, and a weakening Pakistani rupee. Experts caution that further volatility is likely in the coming days, with potential for additional price increases if the upward trend in the global market continues.

The jump follows Monday’s sharp rise, when gold prices surged by Rs 7,500 per tola to Rs 489,362, and 10 grams increased by Rs 6,431 to Rs 419,549, reflecting ongoing economic uncertainty.

Meanwhile, Pakistan’s export sector has recorded a bright spot amid the fluctuations. The country has emerged as the world’s third-largest rice exporter, with total exports rising 14 per cent month-on-month in December 2025. Basmati rice exports alone grew by more than 50 per cent, with key markets including the UAE, China, Tanzania, Kenya, and Ivory Coast. Analysts say the growth in rice exports provides a welcome boost to the national economy.

On the domestic front, however, delays in government wheat supplies may contribute to rising flour prices, adding pressure on consumers already navigating higher commodity costs.

Traders and investors are closely watching gold as both a hedge against inflation and a barometer of broader economic uncertainty, suggesting that the bullion market will remain active in the weeks ahead.