On July 23, 2025, gold prices in Pakistan surged despite a global downturn triggered by eased geopolitical tensions stemming from a trade agreement between the US and Japan.
According to the All Pakistan Sarafa Gems and Jewellers Association, the price of gold per tola increased by Rs3,700, bringing it to Rs364,900, while the price for 10 grams rose by Rs3,171 to reach Rs312,842. Additionally, silver prices climbed to a nearly 14-year high, driven by strong industrial demand and supply shortages.
Gold prices rose due to domestic demand, despite international weakness. The All Pakistan Sarafa Gems and Jewellers Association reported significant gains, indicating increased investor interest in safe-haven assets influenced by local economic factors.
Adnan Agar, the Interactive Commodities Director, stated: “Gold reached a high of $3,438 and a low of $3,405, with the market later stabilising around $3,415. This recent rally has caused gold to increase by nearly $100, indicating a potential correction phase.”
Internationally, spot gold fell 0.6% to $3,412.03 per ounce by 1351 GMT, as trade agreements reduced safe-haven buying. A stronger US dollar also pressured prices. However, analysts expect support from ongoing uncertainties.
Silver Prices and Currency Movements
Silver rose 0.2% to $39.35 per ounce, its highest since September 2011, fueled by industrial uses and supply constraints. The Pakistani rupee strengthened 0.07% against the US dollar, closing at 284.76 up 21 paisa from 284.97.
The State Bank of Pakistan (SBP) raised Rs545.16 billion through Ijara Sukuk and Market Treasury Bills (MTBs) auctions on July 23, with settlement the next day. This reflects efforts to manage liquidity amid rising commodity prices. Pakistan’s gold surge offers investment opportunities, but global dips signal caution. Monitor currency and policy updates for market direction.
