Gold Price in Pakistan Today -11, April, 2023 .The price of gold (24 carats) in Pakistan reached a record high of Rs218,300 per tola and Rs187,157 per 10 grams, after an increase of Rs600 per tola and Rs514 per 10 grams.
This information was released by the All-Pakistan Sarafa Gems and Jewellers Association (APSGJA) .The increase in gold prices came as a result of the Pakistani rupee’s historic low against the US dollar. The country has been unable to restore confidence to the market, which has been further impacted by weekly inflation.
Pakistan’s Currency Slumps, Weekly Inflation Soars:
The rupee fell by 2.44 or 0.85% against the US dollar in the interbank market. The increase in gold prices was in line with this movement, as well as an increase in weekly inflation. Weekly inflation jumped 0.92% week-on-week and 44.49% year-on-year during the seven-day period that ended April 6, due to the rise in prices of sugar and chicken, which occurred because of Ramadan and likely hoarding.
Gold as a Hedge Against Inflation :
Gold is often used as a hedge against inflation, as its value increases as the purchasing power of the dollar declines. In addition, there is seasonal demand for gold during the holy month of Ramadan.
Investors’ Attention Shifted Towards Gold :
Economic tensions have continued to rise in Pakistan, as the International Monetary Fund (IMF) reviews external financing commitments from friendly countries before releasing bailout funds. This delay has negatively impacted the currency market, which in turn has bolstered demand for gold. As a result, investors’ attention has shifted towards the precious commodity.
Comparison to Global Gold Market:
The APSGJA also stated that the price of gold is currently Rs5,000 per tola cheaper in Pakistan than in the Dubai market, demonstrating that the Pakistani gold market is currently cheaper than the global market.
Silver Prices Also Rise :
In addition to the increase in gold prices, silver prices in the domestic market also rose to historic highs after an increase of Rs40 per tola and Rs34.30 per 10 grams to settle at Rs2,520 and Rs2,160.5, respectively.
International Market :
In contrast to the domestic market, gold prices in the international market dropped by $1 per ounce to settle at $2,001.