The gold price in Pakistan has surged past Rs440,000 per tola, marking a record high as international rates for the precious metal cross the historic $4,200 per ounce level. According to the All Pakistan Sarafa Gems and Jewellers Association (APSGJA), the 24-karat gold rate per tola reached Rs440,900 in the local market on Wednesday.
The rally reflects growing investor interest in safe-haven assets amid global market uncertainty, geopolitical tensions, and expectations of interest rate cuts by the U.S. Federal Reserve later this year.
Global Trends Driving Gold’s Historic Surge
The global gold price has soared above $4,200 per ounce, reaching as high as $4,208.80 in some markets. Analysts attribute this record-breaking rise to multiple factors, including heightened geopolitical tensions, a weakening U.S. dollar[1], and persistent inflation concerns.
Central banks across the world have also continued large-scale purchases of gold to diversify their reserves away from the dollar. These institutional inflows have added structural support to the ongoing rally.
Meanwhile, growing speculation that the Federal Reserve could introduce additional rate cuts this year has made non-yielding assets like gold more attractive compared to bonds and savings instruments.
Domestic Market Impact
The surge in global prices, coupled with the rupee’s fluctuation, has pushed the gold price in Pakistan to new peaks. On October 15, the APSGJA quoted the following rates:
| Gold Purity | Weight | Rate (PKR) |
| 24 Karat | Per Tola | 440,900 |
| 24 Karat | 10 Grams | 377,999 |
The latest increase represents a single-day jump of nearly Rs5,800 per tola, extending the bullish trend observed throughout October.
Silver prices have also climbed sharply, surpassing $52 per ounce in international markets. In Pakistan, silver is trading around Rs5,247 per tola, driven by strong investment and industrial demand in solar panels, electronics, and electric vehicles.
Gold dealers in Pakistan warn that the relentless price surge is dampening jewellery demand, particularly for weddings and retail buyers. Many consumers are opting for lighter designs or selling old jewellery amid record-high rates.
Despite the caution, analysts believe the momentum will likely continue as long as economic and geopolitical uncertainties persist, keeping gold’s safe-haven appeal intact.
References
- ^ weakening U.S. dollar (www.techjuice.pk)