Gold rate shows a small increase
Friday, data from a trade group showed that the price of gold in Pakistan went over Rs214,500 per tola, even though the price of gold on the foreign market has gone down.
All-Pakistan Sarafa Gems and Jewellers Association said that the price of 24 carat gold went up by Rs100 per tola and Rs85 per 10 grams to settle at Rs214,600 and Rs183,985, respectively.
From Monday to Wednesday, the price of the yellow metal went up, but on Thursday, after the dollar and stocks went up, the price of the yellow metal went down.
Gold is often seen as a way to protect against inflation, and its price is right around an all-time high. This is because Pakistan’s monthly inflation in March rose to 35.4% from a year earlier, which was an all-time high.
The rupee-dollar parity affects the price of gold because almost all of the country’s gold needs are met by imports, and sellers set prices in the country based on the price of gold in other countries.
Before changing the price of the metal into rupees, jewelers buy it with the US dollar and the UAE dirham.
The association also said that the price of gold in Pakistan is “undercost” by Rs7,000 per tola compared to the Dubai market. This shows that the gold market in Pakistan is currently cheaper than the world market.
On the local market, silver prices stayed the same at Rs2,450 per tola and Rs2,100.48 per 10 grams.
On the world market, the price of an ounce of gold went down by $11 to $2,008.