Unusual movement: Gold hits record only in Peshawar

Gold prices in Peshawar gained Rs150 in the last seven days/

KARACHI:

Gold prices recorded unusual movements on Thursday as the precious yellow metal closed at a record Rs51,850 per tola in Peshawar while other major cities including Karachi, Hyderabad, Lahore, Multan, Islamabad and Faisalabad closed at Rs49,500 per tola.

Gold prices last peaked on June 2, when they closed at Rs49,750 per tola. According to the Sarafa Association Peshawar, gold prices had been on the rise and gained Rs150 in the last seven days. The association has forecast further increase in the value of bullion, citing the rise in dollar’s value against the rupee as the main reason.

However, when the All Pakistan Supreme Council of Jewellers Association president and the main bullion exchange of the country were contacted for comments on the unusual movement, they did not respond as their cells were switched off.

Other dealers in the main gold jewellery markets of Karachi said that the prices received by them remained unchanged as many markets were closed due to the security measures in the wake of protests against power outages in the city.

Gold in international market was steady on Wednesday as investors waited for hints on the US central bank’s next policy move after its chairman acknowledged the economy had slowed, while a slight rebound in the dollar weighed on prices.  Gold breached $1,550 for the second straight session on Tuesday, but failed to close above that key level as the lack of clues on further stimulus plan in Federal Reserve Chairman Ben Bernanke’s remarks kept investors on edge.





Published in The Express Tribune, June 10th, 2011.