Gold prices moved higher in Pakistan on Saturday, tracking gains in the international market and reversing losses seen a day earlier.
In the local market, the price of 24-karat gold rose by Rs2,300 to reach Rs493,162 per tola. Similarly, the rate for 10 grams increased by Rs1,971 to Rs422,806, according to figures released by the All-Pakistan Gems and Jewellers Sarafa Association.
A day earlier, gold had fallen sharply, with the per tola rate dropping to Rs490,862 after a decline of Rs2,900. The latest increase suggests a quick recovery driven by global trends.
Silver prices also followed an upward path, gaining Rs92 to settle at Rs8,049 per tola.
Global market shapes local trend
In the international market, gold prices posted gains during the latest session. The price rose by $23 to reach $4,708 per ounce, including a premium of $20.
Spot gold was up around 0.6 percent during trading, although the metal remains on track to post its first weekly loss in five weeks. Prices have slipped more than 2 percent so far this week despite recent gains.
Market activity has been largely shaped by uncertainty linked to inflation concerns and ongoing geopolitical tensions, particularly involving the US and Iran.
Gold had faced pressure in recent weeks as a stronger dollar and rising expectations of higher interest rates reduced its appeal. However, the situation has become less clear as developments in the region remain uncertain.
The Strait of Hormuz continues to stay closed, even as direct military actions have slowed. This has kept investors cautious, with markets reacting quickly to political signals and statements from key leaders.
At the same time, oil prices have shown some easing after recent gains. Higher oil prices often raise inflation concerns, which can lead to expectations of tighter monetary policy and affect demand for gold.
Analysts say the gold market is currently being driven by headlines, with any shift in geopolitical outlook or economic signals likely to influence prices in the coming days.
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