KARACHI: Gold prices in Pakistan have soared to record-breaking highs, reflecting the global surge that has shaken commodity markets and reignited investor demand for safe havens amid mounting economic uncertainty.
On Monday, international gold rates jumped by US $55 to reach $4,071 per ounce, setting off a chain reaction in the local market. In Pakistan, 10 grams of 24-karat gold surged by Rs 4,715, hitting Rs 367,112, while one tola climbed by Rs 5,500 to touch an unprecedented Rs 428,200. The sudden leap has stunned traders and consumers alike, sparking fears of another inflationary wave.
Experts attribute the rally to renewed global tensions, particularly between the United States and China, alongside expectations of a U.S. interest rate cut. These developments have driven investors toward gold — the traditional refuge in uncertain times — propelling prices beyond previously imagined limits.
Local jewelers say trading activity has slowed sharply as buyers step back amid sky-high prices, while investors and speculators continue to hoard gold in anticipation of further appreciation. “The market is tense, and people are cautious — no one wants to buy at the peak, but no one wants to miss out either,” said one bullion dealer in Karachi.
Economists warn that the relentless climb could further strain Pakistan’s import bill, weaken the rupee, and deepen inflationary pressures already squeezing households. Some, however, believe the surge may ease once global markets stabilize and investors shift focus back to equities or currencies.
For now, the glittering metal reigns supreme — and its rise tells a story not just of global economics, but of local anxiety and financial uncertainty that refuses to fade.
This story has been reported by PakTribune. All rights reserved.