Gold Prices Remain Steady, Stay Above Rs. 400,000 Per Tola in PAK

Gold Prices Hold Steady Above Rs. 400,000 Per Tola

Gold prices in Pakistan remained unchanged on Friday, reflecting a stable trend in the international bullion market after recent volatility.

According to the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA), the per tola price of gold stood at Rs. 407,778, the same level recorded a day earlier. Similarly, the price of 10 grams of gold held steady at Rs. 349,603.

This follows Thursday’s decline, when domestic bullion prices dropped by Rs. 2,500 per tola, bringing them down from their midweek highs to the current level.

International Gold Market Trends

The stability in Pakistan’s domestic gold market mirrored the global gold price, which also remained flat. The international rate stood at $3,865 per ounce (including a $20 premium), unchanged from Thursday, according to APGJSA’s report.

Market analysts noted that the international bullion market is currently in a wait-and-watch mode, with investors closely monitoring:

• U.S. Federal Reserve policy signals regarding interest rates.

• Geopolitical tensions in the Middle East and Eastern Europe.

• Currency movements, particularly the U.S. dollar and Pakistani rupee.

• Global demand for safe-haven assets amid ongoing economic uncertainty.

Silver Prices Remain Unchanged

In addition to gold, silver prices in the local market also stayed flat on Friday. The per tola rate of silver was recorded at Rs. 4,839, unchanged from the previous day.

The price of 10 grams of silver also remained stable, holding at Rs. 4,148.

Recent Volatility in Gold Rates

Gold prices in Pakistan have witnessed sharp fluctuations in recent weeks, primarily due to shifts in the international bullion market and domestic currency instability.

• On Wednesday, gold prices surged by Rs. 3,500 per tola, taking the per tola rate to an all-time high of Rs. 410,278.

• By Thursday, the market corrected itself, pulling the price down to Rs. 407,778.

• On Friday, the market stabilized, with no change in rates.

This pattern reflects how Pakistan’s gold market remains highly sensitive to global movements, particularly fluctuations in the U.S. dollar, crude oil prices, and international bullion demand.

Economic Context Behind Gold Prices

The demand for gold in Pakistan is often linked to broader macroeconomic conditions. With inflationary pressures persisting and the rupee facing volatility, investors and households tend to rely on gold as a safe-haven asset.

1. Inflation Hedge – With rising commodity prices, gold continues to serve as a traditional hedge against inflation.

2. Currency Volatility – Any depreciation in the Pakistani rupee against the U.S. dollar directly impacts local bullion rates.

3. Weddings & Festive Season Demand – Domestic demand typically rises during the wedding season, keeping prices elevated despite international corrections.

4. Global Factors – The U.S. Federal Reserve’s decisions on interest rates, international conflicts, and supply chain disruptions all influence global bullion prices.

Analysts’ Perspective

Market experts believe that the current stability in gold rates is temporary. Given the international climate, they expect fresh price movements in the coming days.

• If the U.S. dollar strengthens, gold could face downward pressure globally.

• If geopolitical tensions worsen, gold demand may surge again, pushing prices upward.

• If rupee depreciation continues, domestic gold prices in Pakistan could climb higher, even if international rates remain steady.

A Karachi-based bullion trader commented:

“The gold market has entered a consolidation phase. Investors are cautious, but in Pakistan, the local trend remains upward due to rupee depreciation and strong seasonal demand.”

Investor Sentiment in Pakistan

For investors in Pakistan, gold remains one of the most reliable assets, particularly amid ongoing economic instability and uncertainty in stock and property markets.

• Many households continue to buy gold jewelry as a store of value.

• Traders prefer gold as a liquid asset compared to real estate.

• Middle-class families invest in small quantities of gold bars and coins as savings.

Given the above Rs. 400,000 per tola threshold, some buyers are showing caution, but jewelers report that wedding season demand has kept the market active.

Outlook for Coming Days

Looking ahead, market observers suggest that Pakistan’s gold market will continue to be influenced by:

1. Global bullion prices – especially if the U.S. Federal Reserve issues new guidance on monetary policy.

2. Rupee-dollar parity – Any depreciation in the local currency is likely to drive domestic gold prices upward.

3. Geopolitical uncertainty – International conflicts could push investors toward safe-haven assets like gold.

4. Domestic demand – Wedding season purchases are expected to support demand in local markets.

Conclusion

Gold prices in Pakistan remained unchanged on Friday, holding steady at Rs. 407,778 per tola and Rs. 349,603 per 10 grams, according to the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA).

International prices also showed no movement, staying at $3,865 per ounce. Silver followed the same trend, with rates stable at Rs. 4,839 per tola.

While today’s market reflects stability, analysts caution that future price swings are likely, given global uncertainties and Pakistan’s ongoing economic pressures. For now, gold continues to serve as a safe-haven investment and remains above the symbolic Rs. 400,000 per tola mark, keeping both investors and consumers watchful of the days ahead.