Gold prices in Pakistan surged to record-breaking levels on Tuesday, reflecting a sharp rise in international markets and growing global uncertainty. The precious metal touched its highest-ever price in both local and global trading, reinforcing gold’s role as a safe-haven investment during times of economic and geopolitical stress.
Sharp Rise in Local Gold Prices
In the local market, the price of gold per tola jumped by Rs. 8,500 to reach Rs. 470,862, according to rates issued by the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA).
Similarly, the price of 10 grams of gold increased to Rs. 403,688, reflecting a significant day-on-day rise. Just a day earlier, gold per tola was priced at Rs. 462,362, after gaining Rs. 6,200, highlighting the rapid pace of price escalation.
Meanwhile, silver prices remained unchanged at Rs. 7,205 per tola, showing relative stability compared to gold’s sharp movement.
International Gold Prices Hit New Records
Globally, gold prices also surged, climbing by $85 to reach $4,485 per ounce, including a premium of $20. Spot gold rose 0.9% to $4,486.41 per ounce as of early morning GMT, after briefly touching an all-time high of $4,497.55 during the session.
US gold futures for February delivery increased even higher, gaining 1.1% to $4,519.70, as investors rushed to secure positions in the precious metal.
Why Gold Prices Are Rising
Gold’s historic rally is being driven by a mix of geopolitical tensions and economic expectations. Rising US–Venezuela tensions, along with uncertainty in global politics, have pushed investors toward safe-haven assets.
At the same time, expectations of lower US interest rates have reduced the appeal of interest-bearing assets, making gold more attractive. A weaker dollar and strong demand from central banks have further added to gold’s upward momentum.
Impact on Pakistani Buyers
In Pakistan, the surge in international prices, combined with currency pressures, has directly turned into higher local rates. While investors are considering gold as a hedge against inflation and economic uncertainty, the record prices have made jewelry purchases more expensive for consumers, particularly ahead of the wedding season.
Outlook
Market analysts say that gold prices may remain volatile in the near term. However, as long as global uncertainty and expectations of monetary easing persist, gold is going to stay near elevated levels, keeping local prices under upward pressure.