Gold prices in Pakistan rose for a third session on Tuesday, boosted by a weaker rupee – which ended its five-day winning streak against the US dollar in the interbank market.
According to the data released by All Pakistan Sarafa Gems and Jewelers Association (APSGJA), the price of gold (24 karat) increased by Rs 500 per tola and Rs 429 per 10 grams to Rs 197,000 and Rs 168,896 respectively. It was decided.
The Pakistani rupee fell 0.24 percent to 262.51 against the US dollar in the interbank market, adding to the precious commodity’s appeal.
Bargain hunters took advantage of the recent losses, but the outlook for the precious metal was still clouded by the possibility of further recovery of the rupee against the greenback as the International Monetary Fund (IMF) restructured its program. Optimism over the issue could boost currency market sentiment.
Overall, the price of gold rose by Rs 3,800 per tola during the last three sessions.
Meanwhile, silver prices in the domestic market rose by Rs 20 per tola and Rs 17.14 per 10 grams to close at Rs 2150 per tola and Rs 1843.27 per 10 grams respectively.
In the international market, gold fell $12 to $1,832 an ounce on a stronger dollar as investors looked to US economic data to gauge the Federal Reserve’s interest rate strategy. Was waiting.
The dollar index is hovering at its highest level in six weeks, making dollar-denominated gold more expensive for buyers holding other currencies.
“Gold’s primary driver remains shifting expectations around the Fed’s next policy moves, with likely further clues in the release of the upcoming FOMC minutes,” said Han Tan, chief market analyst at Activision.
“Should the U.S. economy continue to defy the Fed’s rate hikes, it could invite an all-time high for U.S. rates, much to the dismay of bulls.”
This week’s focus will be on Wednesday’s release of the Federal Open Market Committee’s January meeting minutes, followed by Thursday and Friday’s core PCE price index and US gross domestic product data.
Gold futures for April 2022 peaked at $1,959.60 earlier this month, but have lost about $130 after U.S. data showed signs of a resilient economy.
