Pakistan regains lost ground for gold
The precious metal dropped by a total of Rs2,400 per tola during the week ending February 18. Pakistan's tola gold price increased by Rs2,800. Profiting from recent losses are bargain hunters.
Pakistan's tola gold price increased by Rs2,800. Profiting from recent losses are bargain hunters. Increase in silver prices of Rs. 30 per tola. Following a day of price drops as a result of the Pakistani rupee's ongoing recovery versus the US dollar, gold prices started to rise again on Saturday as bargain hunters began to enter the market. The price of gold (24 carats) climbed by Rs 2,800 per tola and Rs 2,400 per 10 kilos to settle at Rs 196,000 and Rs 168,038 respectively, according to data supplied by the All-Pakistan Sarafa Gems and Jewellers Association Although bargain hunters profited from recent losses, the prognosis for the precious metal was still bleak due to expectations of additional rupee strengthening against the dollar as optimism over the relaunch of the International Monetary Fund (IMF) programme bolstered the mood of the currency market PSGJA.
The precious metal dropped by a total of Rs2,400 per tola during the week ending February 18. In the meantime, domestic silver prices increased by Rs 30 per tola and Rs 25.72 per 10 grammes, respectively, to settle at Rs 2,130 per tola and Rs 1,826.13 per 10 grammes. Gold prices inched up on the international market, but they were still headed for their third consecutive weekly decline due to generally stronger currency and bond yields following new aggressive statements from US Federal Reserve officials. After increasing by $19, the cost of an ounce was finalized at $1,843.
According to Philip Streible, chief market strategist at Blue Line Futures in Chicago, the market was under pressure because of the strengthening dollar and the Fed members' hawkish stance. Fed Governor Michelle Bowman reiterated the target of 2% inflation as Fed members suggested this week that the US central bank likely should have increased interest rates more than it did earlier this month. The opportunity cost of owning zero-yield bullion rises as interest rates rise. Since its nine-month peak earlier this month, the price of the precious metal has decreased by around 7.3%.
According to Goldman Sachs, the Fed will increase interest rates three more times this year by a quarter of a percentage point each. For fresh hints on the trajectory of rate hikes, traders wait for the publication of the most recent FOMC minutes and US GDP data next week
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