KARACHI :(Web Desk)- Gold rose on Thursday, boosted by concerns regarding uncertain economic conditions which have sparked a flight from risky commodities towards safer ones.
Gold prices in the local bullion market recorded an increase of Rs50 per tola and Rs43 per 10 grams to settle at Rs128,850 per tola and Rs110,468 per 10 grams.
A day earlier, the yellow metal closed at Rs128,800 per tola and Rs110,425 per 10 grams.
According to the All Sindh Sarafa and Jeweller Association, the precious commodity has gained Rs1,350 in the last five sessions.
Gold is considered one of the safest investments, hence, its price is skyrocketing as investment is pouring in at a rapid pace.
As the dollar continues to strengthen day after day, investors’ confidence in the currency has tumbled and they have diverted their investment to gold.
Local dealers had also said that the return of inflationary days in Pakistan and around the world has once again invited investors’ attention towards the yellow metal as at such a time, safer commodities become attractive.
However, the increase in prices is negatively affecting the local demand.
“We do see some seasonal demand because of the wedding season but overall, lack of purchasing power has disrupted the local demand for gold,” a gold dealer had said.
The price of gold remained gained $7 to settle at $1,935 per ounce in the international market.
It is pertinent to mention that the gold rates in Pakistan are around Rs4,000 below cost compared to the gold rate in the Dubai market.
Meanwhile, silver prices in the domestic market remained unchanged at Rs1,480 per tola and Rs1,268.86 per 10 grams today.