Gold price sees major increase in Pakistan after remaining stable

Gold prices in Pakistan saw a sharp rise on Tuesday, November 25, after a period of relative stability in the domestic market.

The price of 24-karat gold in local bullion market climbed by Rs7,700 per tola, reaching Rs436,562, according to the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA). The 24-karat gold per 10-gram was also up by Rs6,601, selling at Rs374,281.

The price of 22-karat gold in Pakistan rose as well, with 10 grams quoted at Rs343,103. Silver prices followed the upward trend, with 24-karat silver reaching Rs5,422 per tola and Rs4,648 per 10-gram, marking increases of Rs152 and Rs130 respectively.

Global market factors push gold higher

The surge in local prices comes amid stronger gains in the international market. Spot gold rose 0.1 percent to $4,141.49 per ounce by early Tuesday, the highest level since November 14, continuing a 1.8 percent gain seen on Monday. U.S. gold futures for December delivery were up 1.1 percent at $4,139.10 per ounce.

Analysts say expectations of a potential U.S. interest rate cut in December are driving demand for gold. Kelvin Wong, a senior market analyst at OANDA, noted that “the recent jump in gold prices reflects rising expectations of a rate cut, which has supported short-term gains.”

Market observers are closely watching U.S. economic data, including employment, retail sales, and consumer confidence, to gauge whether the Federal Reserve’s concerns about slowing demand might outweigh persistent inflation.

Fed Governor Christopher Waller indicated that the current state of the job market could justify another quarter-point rate reduction in December, though further action would depend on incoming economic data delayed by the recent government shutdown.

The combination of these global factors and local market sentiment has pushed gold and silver prices higher in Pakistan, signalling renewed interest among investors in precious metals.