Saturday, February 12, 2022
KARACHI: The gold price maintained its uptrend in the domestic market and rose by Rs1,150 per tola to close at Rs126,450 per tola on Saturday in line with the surge in the international bullion market.
Gold prices in the local bullion market jumped Rs985 per 10 grams to reach Rs108,410. A day earlier, the precious commodity closed at Rs125,300 per tola and Rs107,425 per 10 grams.
During the week ended February 12, the yellow metal has recorded an increase of Rs2,250 per tola, according to All Sindh Saraf and Jewellers Association (ASSJA).
Gold dealers suggest that prevailing uncertain economic conditions have sparked a flight from risky commodities towards safer commodities as gold is considered one of the safest investments; hence, its price is skyrocketing as an investment is pouring in at a rapid pace.
Investors are taking aggressive positions on gold due to concerns regarding inflation.
Investors who used to pour money into foreign currencies, particularly in the US dollar to avoid the impact of inflation, are now buying gold because the government and the central bank have tightened regulations regarding foreign currencies.
The price of gold in the international market surged by $34 per ounce to settle at $1,811.
It is pertinent to mention that the gold rates in Pakistan are around Rs500 below cost compared to the gold rate in the Dubai market.
Meanwhile, silver prices in the domestic market also remained unchanged at Rs1,450 per tola and Rs1,243.14 per 10 grams.