Gold price in Pakistan increases by Rs4,000 to Rs208,000 per tola ahead of Muharram

In anticipation of the upcoming month of Muharram, which signifies the start of the new Islamic year, gold prices in Pakistan experienced significant gains on Thursday.

Data provided by the All-Pakistan Sarafa Gems and Jewellers Association (APSGJA) reveals that the price of 24-carat gold rose by Rs4,000 per tola and Rs3,429 per 10 grammes, settling at Rs208,000 and Rs178,326, respectively.

Simultaneously, the international market witnessed a surge in the price of gold, with a $13 increase, reaching $1,959 per ounce. This rise in gold rates can be attributed to prevailing political and economic uncertainties, as well as high inflation in Pakistan. During such periods, individuals often turn to gold as a safe investment and hedge against market volatility.

As the month of Muharram approaches, there is typically an upswing in the buying and selling of this precious commodity, leading to increased demand. Supporting this trend, APSGJA data reveals that the price of silver rose by Rs50 per tola and Rs42.87 per 10 grammes, settling at Rs2,600 and Rs2,229.08, respectively. Notably, the previous day witnessed a decline in the bullion price by Rs500 per tola and Rs429 per 10 grammes.

Furthermore, the local currency demonstrated minimal gains of 0.37 per cent against the US dollar in the interbank market today, as reported by the State Bank of Pakistan (SBP). The rupee closed at Rs276.46 against the dollar.