Gold prices jump in Pakistan on global bullion market rally

KARACHI: Gold prices in Pakistan saw a sharp jump on Friday, tracking a massive surge in the international bullion market as macroeconomic uncertainties continue to drive investors toward safe-haven assets.

In the international market, spot gold surged by $72.50 to settle at $4,175.30 per ounce, triggering a sharp knee-jerk reaction in domestic markets.

Reflecting the global surge, the price of 24-carat gold in Pakistan’s domestic bullion markets jumped by Rs7,250 per tola (11.66 grams) to reach Rs439,966.

Similarly, the price for 10 grams of 24-carat gold climbed by Rs6,525 to settle at 375,947 rupees.

Market analysts note that the local bullion market has remained highly volatile due to a combination of historic global commodity pricing and domestic currency pressures.

The rally extended into the silver market as well.

Locally, the price of per tola silver advanced by Rs190 to close at Rs7,079, while the price of 10 grams of silver rose by Rs171 to hit Rs6,028.

Gold is traditionally viewed as a hedge against inflation and geopolitical instability, and dealers in Karachi reported a surge in interest despite the prohibitive new pricing levels.