Gold rates up Rs2,900 per tola to all-time high

KARACHI: Gold prices surged by Rs2,900 per tola on Friday in the local market, reaching an all-time high following an increase in the international market.

According to the All Pakistan Sarafa Gems and Jewelers Association, gold rates soared to a record Rs289,600 per tola, surpassing the previous high of Rs287,900 per tola recorded on October 30, 2024.

Similarly, the price of 10-gram gold increased by Rs2,486, reaching Rs248,285, reflecting the upward momentum in global prices. In the international market, gold prices climbed by $29 to $2,772 per ounce. The rise in global gold prices has significantly influenced local market rates, which are adjusted by a premium of $20 over international prices.

Silver prices also witnessed an upward trend, with rates increasing by Rs31 to Rs3,432 per tola. Likewise, 10-gram silver prices rose by Rs27 to Rs2,942. Market analysts attributed the surge in gold prices to the recent change in government in the US, which has led to economic uncertainty, prompting investors to turn to gold as a safe-haven asset.

An analyst commented that the rising gold prices in the local market were directly influenced by international trends. “The economic uncertainty following the government change in the US has driven investors to gold, which is considered a safe investment,” he said.

However, the analyst noted that the increasing prices had adversely affected the jewellery trade in the local market due to the low purchasing power of consumers. “Some investors are buying raw gold as an investment, but the sale of gold jewellery has dropped to an alarming level,” he added.

With the gold market experiencing record highs, traders and investors remain cautious, closely monitoring global economic developments that could further impact prices.