KARACHI: Gold prices rose in global and local markets Wednesday after a three-day pause, with the international price increasing by $43 per ounce to $4,191.
In the local bullion market, the price of gold rose by Rs4,300 per tola to Rs441,636. The price of 10 grams increased by Rs3,686 to Rs378,631.
Silver prices also increased. The international price of silver rose by 20 cents per ounce to $61, pushing the local price up by Rs20 per tola to Rs6,578.
The price of 10 grams of silver increased by Rs17 to Rs5,639.
Earlier, Gold prices fell sharply in global and local markets on Monday, with the price of a tola of gold in Pakistan declining by Rs12,800.
In the international bullion market, gold prices fell $128 per ounce to $4,156.
Following the decline in international prices, the price of a tola of gold in the local market fell to Rs438,136, while the price of 10 grams dropped by Rs10,973 to Rs375,631.
Silver prices also declined, with the price of a tola falling by Rs325 to Rs6,578. The price of 10 grams of silver decreased by Rs279 to Rs5,639.
Gold has traditionally been regarded as a safe-haven investment because its value tends to rise during periods of inflation, political uncertainty and economic instability.
For centuries, gold has served as a store of wealth and a form of currency. When investors lose confidence in other asset classes, they often turn to gold as a relatively stable investment to preserve their wealth.
In Pakistan, the mechanism for setting domestic gold prices was revised last year. Under the updated formula, local gold prices are calculated based on the international market rate plus a premium of $20 per ounce, reflecting domestic pricing adjustments.
