Gold rises Rs2500 per tola in domestic market
- By Web Desk -
- Apr 23, 2020
KARACHI: Gold prices on Thursday increased by Rs2500 to Rs96,400 per tola in the domestic market, reported ARY News.
Likewise, the rate of 10 grams of the precious metal rose by Rs2142 to Rs82,647.
Last week, per tola price of gold had surpassed the Rs100,000 mark for the first time in the country’s history. The price of the yellow metal rose Rs700 to an all-time high of Rs100,400 per tola.
Meanwhile, Gold in international market rose to a one-week high on Thursday on the expectation of more stimulus from major centralbanks to limit the economic damage from the coronavirus pandemic, with most countries extending lockdowns to curtail its spread.
Spot gold was up 0.6% at $1,724.39 per ounce by 1004 GMT. U.S. gold futures gained 0.5% at $1,747.50.
“Gold is rising because the opportunity cost of holding bullion is becoming attractive. You can print money but not gold, there are supply limitations,” said Bank of China International analyst Xiao Fu.
“There are a couple of central bank meetings coming up next week and they could unleash further money tree accommodation. Investors are looking for some asset class in the current situation that is relatively safe.”
Gold tends to benefit from widespread stimulus measures from central banks since it is seen as a hedge against inflation and currency debasement.