Gold price rises Rs5,900 per tola in Pakistan as global demand strengthens

Gold prices in Pakistan rose sharply on Monday, tracking gains in the international market as expectations of a US Federal Reserve rate cut and concerns over a potential US government shutdown boosted safe-haven demand.

According to the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA), the price of 24-karat gold increased by Rs5,900 per tola to Rs403,600, compared with Rs397,700 on September 27.

The rate for 10 grams of 24-karat gold rose by Rs5,058 to Rs346,021.

Similarly, 22-karat gold was quoted at Rs317,197 per 10 grams.

Silver also witnessed an uptick, with 24-karat silver trading at Rs4,792 per tola, up Rs88, and Rs4,108 per 10 grams, higher by Rs76.

Internationally, spot gold traded near $3,815 an ounce, marking an increase of $48, or 1.27%, from the previous session. Analysts said the rally was driven by a weaker U.S. dollar amid rising bets that the Federal Reserve may lower interest rates. Fears of a U.S. government shutdown further reinforced demand for safe-haven assets like gold.