ISLAMABAD: The rate of 24 karat per tola gold was traded at Rs317,034 on Saturday, the currency rates portal Forex reported.
The rates of 10 grams of 24 karat gold reached Rs272,094.
Meanwhile, demand for physical gold in China increased this week as trade war jitters spurred safe-haven buying, although customers in India refrained from purchases, anticipating a price drop.
In top consumer China, dealers charged premiums of $6-$13 an ounce over global benchmark spot prices, compared with a discount of $4 and a premium of $1 last week.
Gold, a highly valued precious metal, has maintained its significance for centuries and plays a vital role in the global economy.
Read more: Silver hits over eight-week low
Its value stems from its scarcity, durability, and widespread appeal. Frequently regarded as a safe-haven asset, gold is employed to preserve wealth during times of economic instability.
Central banks and investors maintain gold reserves to diversify their investment portfolios and protect against inflation and currency value fluctuations.
The price of gold depends on a wide range of factors. Geopolitical instability or fears of a deep recession can quickly make gold rates 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.
Moreover, Prices of silver dropped to over eight-week lows on Friday as concerns about demand for the industrial precious metal dominated sentiment due to recession fears stemming from U.S. President Donald Trump’s slew of tariffs.
Silver typically tends to move alongside gold, but industrial uses such as electronics and photovoltaics account for more than half of global demand, estimated at around 700.2 million troy ounces as of 2024, according to the Silver Institute industry association.
