KARACHI:
Gold prices in Pakistan extended gains on Monday, tracking a sharp rise in international bullion markets driven by a softer US dollar and heightened investor caution ahead of a week packed with key US economic data that could shape the Federal Reserve’s monetary policy outlook.
In the local market, gold per tola climbed by Rs5,300 to settle at Rs524,762, according to rates issued by the All-Pakistan Gems and Jewellers Sarafa Association. Similarly, the price of 10-gram gold increased by Rs4,544 to Rs449,898. On Saturday, gold per tola had surged by Rs11,700 to Rs519,462.
Silver prices also moved higher, gaining Rs346 to reach Rs8,615 per tola, mirroring strong trends in international markets where the white metal has recently recorded significant volatility and sharp gains.
Globally, spot gold rose about 2.1% to $5,063.88 per ounce by late Monday morning, extending a roughly 4% rally from Friday, as investors shifted towards safe-haven assets amid uncertainty over US macroeconomic indicators. Market participants are closely watching delayed US jobs and inflation data due later this week, which could influence expectations regarding rate cuts or a prolonged high-rate environment. Adding to bullish sentiment, China’s central bank extended its gold-buying spree for a 15th consecutive month, reinforcing structural demand for the precious metal. Meanwhile, silver climbed over 5% after nearly a 10% surge in the previous session, highlighting broader strength across the metals complex.
Adnan Agar, Director at Interactive Commodities, said gold remained range bound despite recent volatility. Gold touched a low near $4,960 and a high around $5,080 during the day, and the market was later hovering near $5,066, he noted, adding that prices largely consolidated between $4,800 and $5,100 in recent sessions.
He emphasised that the upcoming US non-farm payrolls data would be a critical trigger for market direction, while geopolitical developments, particularly involving Iran, could also influence price movements. “Unless gold sustains above $5,200, it may remain range bound, but a drop below $4,800 could trigger fresh downside,” Agar said.
Meanwhile, the Pakistani rupee recorded a slight appreciation against the US dollar in the inter-bank market. By the close of trading, the currency settled at 279.70, strengthening by Rs0.01.
