Gold continues upward trajectory with Rs1,100 rise

The rate of gold continued to rise in Pakistan Monday as the international price of the safe-haven bullion also went up.

The price of gold (24 carats) increased by Rs1,100 per tola and Rs943 per 10 grams to reach Rs235,100 and Rs201,560, respectively, according to the All Pakistan Sarafa Gems and Jewellers Association (APSGJA). 

Meanwhile, the international rate went up by $5 to settle at $2,015 per ounce.

Gold has been on an uptrend recently due to several factors — economic and political turmoil, high inflation, and currency depreciation. People prefer to buy the yellow metal in such times as a safe investment and a hedge.

The safe-haven bullion had reached an all-time high of Rs240,000 per tola on May 10 following increased political uncertainty after Pakistan Tehreek-e-Insaf (PTI) Chairman Imran Khan's arrest. It dropped later in line with the decline in the international rate.

Cumulatively, the precious metal gained Rs7,100 per tola in the previous week.

The jewellers' body also said that local gold was "overcost" by Rs3,500 per tola in Pakistan compared to the Dubai bullion market.

Data shared by the association showed the price of silver also increased by Rs100 per tola and Rs85.72 per 10 grams to settle at Rs3,000 and Rs2,572, respectively.