KARACHI: Gold gained for the third consecutive session on Tuesday boosted by concerns regarding uncertain economic conditions which have once again sparked a flight from risky commodities towards safer ones.
Bullion prices in the local market gained Rs150 per tola and Rs128 per 10 grams today to reach Rs128,750 and Rs110,382.
According to rates issued by All Sindh Sarafa Association, gold prices clocked in at Rs128,600 per tola and Rs110,254 per 10 grams on Monday.
Analysts believe that inflation is always a favourable scenario for gold as concerns regarding an economic slowdown in Pakistan and worldwide are adding fuel to the uptrend in gold prices.
The inflation — based on the consumer price index (CPI) — clocked in at 12.2% for the month of February.
Local gold dealers said that the return of inflationary days in Pakistan and around the world has once again invited investors’ attention towards the yellow metal.
In the international market, the gold price jumped by $17 per ounce to settle at $1,922 as the metal is considered a safe store of value during political and financial uncertainty.
The gold rates in Pakistan are around Rs4,000 below the cost compared to the gold rate in the Dubai market.
Meanwhile, silver prices in the domestic market remained unchanged at Rs1,470 per tola and Rs1,260.28 per 10 grams.