KARACHI: Gold prices in the local market surged to new record highs on Tuesday, tracking a sharp rally in international rates driven by geopolitical tensions and expectations of further US interest rate cuts.
The price of 24-karat gold rose by Rs9,100 to Rs514,662 per tola, while the 10-gram rate increased by Rs7,802 to Rs441,239, according to data released by the All Pakistan Sarafa Gems and Jewellers Association (APSGJA).
In the international market, gold climbed by $91 per ounce to $4,923, based on interbank exchange rates.
Market participants said global gold prices remain under pressure as investors continue to flock to the precious metal as a safe-haven asset amid geopolitical uncertainty and easing monetary policy expectations in the United States.
The steep rise in domestic gold prices has dampened demand for jewellery during the ongoing wedding season, with many families finding gold increasingly unaffordable. Jewellers reported thin customer turnout, while investor interest in bullion remains strong.
Since the start of 2025, gold prices have surged sharply. The per-tola rate has jumped by Rs241,062 from Rs273,600 on January 1, 2025, while the 10-gram price has risen by Rs206,671 from Rs234,568 over the same period.
International gold prices have also seen a dramatic increase, climbing by $2,299 per ounce from $2,624 at the beginning of 2025.
Meanwhile, silver prices also advanced. The 24-karat silver rate rose by Rs372 to Rs10,275 per tola, while the 10-gram rate increased by Rs319 to Rs8,809, reflecting a $3.72 rise in global silver prices to $98 per ounce.