Gold rises Rs3,400 per tola as silver also posts gains

Islamabad: Gold and silver prices moved up on Friday in both the domestic and international markets, reversing part of the sharp decline recorded a day earlier.

According to the figures reported, the price of gold in the local market increased by Rs3,400 per tola to reach Rs490,362. The rate for 10 grams of gold also went up by Rs2,915, taking it to Rs420,406.

In the international market, gold prices rose by $34 per ounce to $4,676. Silver also registered gains. In Pakistan, the price of silver per tola increased by Rs160 to Rs7,794, while the rate for 10 grams climbed by Rs138 to Rs6,682. In the global market, silver was priced at $73.10 per ounce.

Previous session had seen a steep fall

The latest increase came after a sharp drop in gold prices on Thursday, when the local market followed losses in the international bullion market.

On Thursday, the price of gold per tola had fallen by Rs7,100 to settle at Rs486,962, according to the All-Pakistan Gems and Jewellers Sarafa Association. The price of 10 grams of gold had also declined by Rs6,087 to Rs417,491.

That fall had come a day after gold touched Rs494,062 per tola, after gaining Rs15,300 in a single trading session.

Internationally, gold prices had dropped by $71 to $4,642 per ounce, including a $20 premium. Spot gold was down 2% at $4,660.95 per ounce by 11:22 am EDT after touching a two-week high, while US gold futures slipped 2.6% to $4,686.80.

Global factors weighed on bullion

The earlier decline in bullion prices was linked to pressure from a stronger US dollar and rising oil prices. Market sentiment shifted after US President Trump signalled continued military actions against Iran, which pushed oil prices higher and strengthened the dollar.

Those developments raised concerns about inflation and reinforced expectations of higher interest rates, factors that typically weigh on non-yielding assets such as gold.

Silver had also recorded a notable decline in Pakistan on Thursday, falling by Rs350 to Rs7,634 per tola, in line with a nearly 4% drop in international silver rates.

The latest session, however, saw both precious metals recover ground in local trading alongside gains in the international market.