Starting the week on a high note, gold prices in Pakistan increased due to the Pakistani rupee’s decline against the US dollar and a rise in global rates.
Recent data from the All-Pakistan Sarafa Gems and Jewellers Association (APSGJA) shows that the price of 24-carat gold increased by Rs3,100 per tola, reaching Rs229,900, and by Rs2,658 per 10 grammes, reaching Rs197,102.
Likewise, the price of gold in the international market saw a modest $2 increase, reaching $1,891 per ounce today.
Over the last six sessions, the local market experienced a substantial rise of Rs8,100 per tola in gold prices.
According to the association’s data, the price of silver remained steady at Rs2,800 per tola and Rs2,400.54 per 10 grammes.
The PKR continued its decline against the US dollar on Monday. The local currency went down by 0.45 per cent, which is about Rs1.35, and closed the day at Rs297.13 in the interbank market, as reported by the State Bank of Pakistan.
Gold prices in the Pakistani market are consistently rising due to the depreciation of the local unit. Analysts suggest that despite the decline in global prices, local prices remain stable owing to the strengthening US dollar.
In the event that the PKR continues to depreciate and global prices remain subdued, local gold prices are likely to hold steady. On the contrary, if global prices surge and the Pakistani currency remains weak, gold prices in the country might witness further escalation.