Gold prices in Pakistan moved higher on Saturday, tracking gains in the international market, while silver climbed to another record level, reflecting continued volatility in precious metals.
According to the All Pakistan Gems and Jewellers Sarafa Association (APGJSA), the price of gold increased by Rs1,100 per tola to settle at Rs433,536. The price of 10 grams of gold also rose by Rs943, taking it to Rs371,687.
The latest increase came a day after the local gold market had witnessed a sharp decline. On Friday, the price of one tola had dropped by Rs1,400 to close at Rs432,436, making Saturday’s recovery a partial reversal of those losses.
Internationally, gold prices also edged higher. The global benchmark rate rose by $11 to reach $4,111 per ounce, including a premium of $20. The improvement in global prices helped lift local rates, which typically move in line with trends in the international bullion market and the rupee-dollar exchange rate.
Silver also continued its strong upward run. The price of the metal gained Rs30 per tola to reach Rs6,462, marking a fresh all time high in Pakistan. The steady rise in silver prices has attracted growing attention from investors and buyers looking for alternatives as gold remains expensive.
Despite Saturday’s increase, the international gold market has faced pressure over the past week. Spot gold slipped 0.4 percent on Friday to around $4,103 per ounce and was down roughly 1.7 percent for the week. US gold futures also ended lower, reflecting cautious investor sentiment.
Market analysts said renewed geopolitical tensions between the United States and Iran have complicated the outlook for commodities. While such uncertainty often supports demand for safe haven assets like gold, rising oil prices have also raised fears of higher inflation.
The recent increase in energy prices has strengthened expectations that central banks, particularly the US Federal Reserve, could keep interest rates higher for longer to contain inflation.
Analysts say this creates a difficult environment for gold. Although the metal is widely viewed as a hedge against inflation, higher interest rates reduce its appeal because it does not generate any yield. Investors often shift towards interest bearing assets when borrowing costs remain elevated.
For buyers in Pakistan, the latest price movements underline how closely the domestic bullion market remains tied to global economic developments, geopolitical tensions and changes in investor expectations.
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