Gold prices peak at Rs43,842 per 10 grams

Local gold market has been gaining momentum in catching up with international gold rates.

KARACHI:

After a week of stability, gold prices reached new lifetime peaks on Tuesday. The precious yellow metal was priced at Rs43,842 per 10 grams, while per tola (11.7 grams) rate crossed the Rs51,000 barrier to close at Rs51,150.

Gold prices have been gaining momentum again in an attempt to catch up with the international market rates, said Karachi Saraf Association President Haroon Chand. He further said that prices are likely to incline further in the coming days. The gold expert also said that despite this being the wedding season markets had not been performing well, due to the high prices.

In the international bullion market, gold prices raced to another record high level on Tuesday as investors sought shelter from the eurozone debt storm. The precious metal soared to $1,610.10 an ounce.

Gold is seen by investors as a safe-haven in times of global economic turmoil, with financial markets anxiously awaiting Thursday’s Brussels summit of eurozone leaders to address Europe’s burgeoning debt crisis, according to the AFP.

Global markets are also on alert as lawmakers in Washington remain deadlocked over an agreement to raise the official US debt ceiling and avoid a potentially catastrophic default, the wire service reported.

Published in The Express Tribune, July 20^th, 2011.