Pakistan’s gold prices moved higher on Thursday, reversing the previous day’s decline as the precious metal gained ground in the international market.
According to the All Pakistan Gems and Jewellers Sarafa Association (APGJSA), the price of gold rose by Rs1,000 per tola to Rs427,436.
The price of 10 grams of gold also increased by Rs857, taking it to Rs366,457.
The latest rise came a day after gold had slipped by Rs1,000 per tola in the local market.
In the international market, gold was quoted at $4,050 per ounce, including a premium of $20, marking a $10 increase from the previous session.
Silver, however, moved in the opposite direction. Its price fell by Rs76 to Rs6,215 per tola in the local market.
Globally, gold prices eased during Thursday’s trading after a strong rally in the previous session, as investors weighed rising US Treasury yields and the Federal Reserve’s latest policy stance.
Spot gold was down 0.5 percent at $4,045.59 per ounce by 0714 GMT after climbing as much as 2 percent on Wednesday. US gold futures for August delivery were up 0.2 percent at $4,043.70.
Higher Treasury yields reduced the appeal of non-yielding assets such as gold by raising the opportunity cost of holding bullion.
ANZ analyst Soni Kumari said rising yields reflected expectations that persistent inflation could keep interest rates higher, putting pressure on gold prices.
The Federal Reserve left interest rates unchanged at its latest meeting while reaffirming its commitment to bringing inflation under control, leaving investors uncertain about the timing of its next policy move.
Markets are now pricing in a 67 percent chance of a US interest rate increase in September, down from about 81 percent before the Fed’s latest decision, according to CME Group’s FedWatch Tool.
Investors are also awaiting the release of the US Personal Consumption Expenditure inflation data later on Thursday, which could offer fresh clues about the Federal Reserve’s next move.
Geopolitical tensions also remained in focus after the US military carried out fresh strikes in Iran on Wednesday, adding to uncertainty in global markets.
Meanwhile, spot silver slipped 0.3 percent to $57.49 per ounce. Platinum lost 1 percent to $1,595.38, while palladium rose 0.7 percent to $1,255.67.
