European Central Bank
Gold rose on Thursday as investors awaited the European Central Bank‘s policy announcement and the possibility of aggressive policy tightening by major central banks weighed on the metal’s appeal as a non-interest bearing asset.
The All Sindh Sarafa Jewellers Association (ASSJA) reports that the price of increased by Rs500 per tola to reach Rs144,500 and by Rs428 to reach Rs123,885 for 10 grams of gold.
The price of the precious metal closed the previous day at Rs. 144,000 per tola and Rs. 123,457 for every 10 grammes.
the global market for gold
Since Pakistan continues to be a small global market for, its price for local markets is determined by taking into account its prices on international markets, the rupee-dollar exchange rate, as well as its demand and supply in local markets.
Due to worries about policy rates, bullion prices fell by $26 per ounce to settle at $1,682 on the global market.
In Pakistan, gold is priced at about Rs2,500 less than it would be in the Dubai market.
In the meantime, today’s domestic market silver prices stayed the same at Rs. 1,580 per tola and Rs. 1,354.60 per 10 grams.
According to earlier reports, despite rupee depreciation—which reached an all-time low of Rs224.92 against the US dollar on Wednesday—the price of gold in Pakistan fell by Rs1,200 per tola.
The price of gold in the local bullion market decreased by Rs 1,200 per tola to Rs 144,000 and by Rs 1,028 for 10 grammes to Rs 123,457, according to the All Sindh Sarafa Jewellers Association (ASSJA).
The valuable commodity had a previous day’s closing price of Rs145,200 per tola and Rs124,485 per 10 grammes.
Analysts were taken aback by a decline in the price of because historical evidence suggests that during periods of inflation, people used to hold aggressive positions in gilt
Investing in gold, according to a gold dealer, is a secure bet against rupee depreciation or devaluation.
Some investors are more inclined towards the conventional shining asset, but people may invest directly in the dollar to take a similar advantage, he said.
But according to him, Pakistan is still only a small portion of the global gold market. As it does not produce the commodity locally, it imports it to satisfy demand.
As a result, the price of gold in local markets is established by taking into account its costs on international markets, the rupee-dollar exchange rate, as well as the supply and demand for it in those markets.
Bullion prices fell $9 per ounce to settle at $1,708 on the global market.
In Pakistan, gold is priced about Rs2,000 less than it would be in the Dubai market.
In the meantime, today’s domestic market silver prices stayed the same at Rs. 1,580 per tola and Rs. 1,354.60 per 10 grammes.
