KARACHI: Gold prices in Pakistan surged sharply on Friday, August 21, in line with a strong rally in international bullion prices amid continued geopolitical uncertainty.
According to rates issued by the All Pakistan Sarafa Gems and Jewellers Association (APSGJA), the price of 24-karat gold surged by Rs5,200 per tola to Rs477,136, up from Rs471,936 in the previous session.
The previous day’s rate and international price are independently reported at Rs471,936 per tola and $4,495 per ounce, respectively.
The price of 24-karat gold per 10 grams also increased by Rs4,458, rising to Rs409,067 from Rs404,609.
In the international market, gold prices jumped by $52 per ounce to $4,547, compared with $4,495 in the previous session, according to the association.
Silver prices
Silver prices also rose in the local market. The price of silver increased by Rs210 per tola to Rs7,379, up from Rs7,169.
Geopolitical uncertainty
Investors continued to closely monitor developments in the Middle East as Iran and the United States remained at odds over efforts to reach a permanent end to the conflict in the Gulf.
US Treasury Secretary Scott Bessent said the United States would impose “the toughest sanctions in history” on Iran, a move he suggested would reduce the need for new major military operations.
Read More: US says it will impose ‘toughest sanctions in history’ on Iran
Bessent’s comments on Thursday followed President Donald Trump’s threat a day earlier of “economic warfare” and warning of economic consequences against any country that provided “any type of lifeline to Iran.” Bessent said details of the sanctions would be announced next week.
Oil prices rose to more than a three-week high on Thursday following the US threats of financial penalties aimed at forcing an end to the nearly six-month-old conflict, which has disrupted millions of barrels of Middle Eastern oil supplies.