Gold prices in Pakistan moved higher on Tuesday, tracking gains in the international market, as uncertainty over global interest rates kept investors cautious.
In the local bullion market, the price of gold per tola climbed to Rs455,063 after a single-day increase of Rs2,830, according to the latest rates issued by the All-Pakistan Gems and Jewellers Sarafa Association. The price of 10-gram gold also rose by Rs2,547 to settle at Rs389,534.
This follows a volatile session a day earlier when gold had slipped by Rs3,094 per tola, closing at Rs452,222 on Monday. The sharp swings highlight how quickly sentiment is shifting in both local and global markets.
Internationally, gold also edged higher, rising by $28 to reach $4,326 per ounce, including a premium of $20. However, broader global trading showed mixed signals as investors weighed inflation concerns against easing tensions in parts of the Middle East.
Spot gold held largely steady at around $4,327 per ounce in early trade, after touching its lowest level in several weeks in the previous session. US gold futures for August delivery, meanwhile, slipped slightly.
Analysts say the metal is struggling to find a clear direction. On one hand, softer oil prices have helped calm inflation fears. On the other, expectations of further interest rate hikes in the United States are limiting demand for gold, which does not offer returns like interest-bearing assets.
Investors are now focused on upcoming US inflation data, which could help shape the Federal Reserve’s next policy decision. Market watchers are also pricing in a higher chance of a rate increase later this year, keeping pressure on bullion.
Despite short-term support, gold recently fell below its 200-day moving average for the first time in months, a technical signal often linked with weaker momentum.
Other precious metals also saw movement. Silver in Pakistan rose by Rs141 per tola to Rs7,314. In global trade, silver, platinum and palladium all posted mild gains, reflecting cautious optimism across commodity markets.
For consumers in Pakistan, the latest increase means higher costs for jewellery and savings-linked purchases, especially as prices continue to react sharply to every shift in the global economic outlook.
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