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Pakistan Gold price Friday: Gold rises, according to FXStreet data

Most recent article: Pakistan Gold price today: Gold rises, according to FXStreet data

Gold prices rose in Pakistan on Friday, according to data compiled by FXStreet.

The price for 24-carat Gold stood at 19,985.22 Pakistani Rupees (PKR) per gram, up PKR 19.39 compared with the PKR 19,965.82 it cost on Thursday.

The price for 24-carat Gold increased to PKR 233,103.67 per tola from PKR 232,877.45 per tola.

Unit measureGold Price in PKR
1 Gram19,985.22
10 Grams199,852.19
Tola233,103.67
Troy Ounce621,610.25

FXStreet calculates Gold prices in Pakistan by adapting international prices (XAU/USD) to the local currency and measurement units. Prices are updated daily based on the market rates taken at the time of publication. Prices are just for reference and local rates could diverge slightly.

Global Market Movers: Gold price advances in tandem with the US Dollar

  • Gold prices seem to be rallying based on speculation of a lower February inflation report in the US. The Core PCE is expected to slow from 0.4% to 0.3% MoM, while the headline PCE is expected to edge higher from 0.3% to 0.4% MoM.
  • The US GDP rose by 3.4%, exceeding the preliminary reading of 3.2%, an indication of a strong economy. The Core Personal Consumption Expenditure (PCE) for Q4 2023 hit the Fed’s target of 2% QoQ.
  • Initial Jobless Claims for the week ending March 23 increased by 210K, less than the consensus projection of 215K and lower than the previous week. The data could prevent the Fed from cutting rates sooner than market participants estimate.
  • The University of Michigan Consumer Sentiment Index rose to its highest level since July 2021, climbing to 79.4, exceeding estimates of 76.5. Pending Home Sales recovered in February, increasing 1.6% MoM after plunging -4.7% in January and above the consensus of 1.5%.
  • Money market traders predict a 63% chance that the Fed will slash rates by a quarter of a percentage point in June, lower than Wednesday's 70% odds.

(An automation tool was used in creating this post.)

Gold FAQs

Gold has played a key role in human’s history as it has been widely used as a store of value and medium of exchange. Currently, apart from its shine and usage for jewelry, the precious metal is widely seen as a safe-haven asset, meaning that it is considered a good investment during turbulent times. Gold is also widely seen as a hedge against inflation and against depreciating currencies as it doesn’t rely on any specific issuer or government.

Central banks are the biggest Gold holders. In their aim to support their currencies in turbulent times, central banks tend to diversify their reserves and buy Gold to improve the perceived strength of the economy and the currency. High Gold reserves can be a source of trust for a country’s solvency. Central banks added 1,136 tonnes of Gold worth around $70 billion to their reserves in 2022, according to data from the World Gold Council. This is the highest yearly purchase since records began. Central banks from emerging economies such as China, India and Turkey are quickly increasing their Gold reserves.

Gold has an inverse correlation with the US Dollar and US Treasuries, which are both major reserve and safe-haven assets. When the Dollar depreciates, Gold tends to rise, enabling investors and central banks to diversify their assets in turbulent times. Gold is also inversely correlated with risk assets. A rally in the stock market tends to weaken Gold price, while sell-offs in riskier markets tend to favor the precious metal.

The price can move due to a wide range of factors. Geopolitical instability or fears of a deep recession can quickly make Gold price escalate due to its safe-haven status. As a yield-less asset, Gold tends to rise with lower interest rates, while higher cost of money usually weighs down on the yellow metal. Still, most moves depend on how the US Dollar (USD) behaves as the asset is priced in dollars (XAU/USD). A strong Dollar tends to keep the price of Gold controlled, whereas a weaker Dollar is likely to push Gold prices up.

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FXStreet Team

Composed of a group of economic journalists and FX experts, the FXStreet content team produces and oversees all content published on FXStreet. It provides a purely journalistic approach to the Forex market.

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