Gold prices in Pakistan moved up on Tuesday, following a similar trend in the international market.
In the local market, the price of gold per tola rose by Rs1,000 to reach Rs523,762. The rate for 10 grams also increased by Rs857, settling at Rs449,041, according to figures released by the All Pakistan Gems and Jewellers Sarafa Association.
This comes a day after gold prices had fallen. On Monday, the per tola rate dropped by Rs1,800 to close at Rs522,762, showing how quickly the market can shift.
Global market keeps gold supported
Internationally, gold prices saw a modest increase. The rate rose by $10 to reach $5,010 per ounce, including a premium of $20. Spot gold was also slightly higher, trading at around $5,013 per ounce, while US gold futures recorded small gains.
Market watchers say the recent movement reflects changing sentiment around global tensions, especially in the Middle East. Concerns over oil supply disruptions had pushed prices higher earlier, but those fears eased slightly after comments from Iran’s foreign minister suggested that some shipping routes remain open.
This helped calm markets for a short time. Oil prices pulled back, bond yields dipped, and the US dollar weakened a little, making gold more attractive for investors.
However, uncertainty remains. The ongoing conflict involving the US, Israel and Iran continues to affect global oil supplies. The Strait of Hormuz, a key route for oil shipments, is still facing disruptions, with several tankers reportedly stuck for weeks.
Higher oil prices can push up inflation, as transport and production costs rise. Gold is often seen as a safe option during inflation, but rising interest rates can limit its appeal by offering better returns elsewhere.
Meanwhile, silver prices in Pakistan also increased, climbing by Rs128 to reach Rs8,569 per tola.
Overall, the market remains sensitive to global developments, with investors closely watching both political tensions and upcoming central bank decisions.
