Gold prices soar to historic highs as global economic uncertainty escalates

The upward trend in gold prices across Pakistan continued today, with the price of gold per tola increasing by Rs400 reaching a new record high of Rs292,200.

According to reports, the price of gold on the international bullion market also saw a further rise, with the price increasing $5 per ounce, settling at $2,797, a historic peak.

The impact of rising global demand for gold, fueled by increasing buying contracts on the international market, is being felt locally as well. As a result, the price of gold has reached unprecedented levels in Pakistan’s local markets.

The price of 24-carat pure gold per tola increased by Rs400, pushing it to Rs292,200. Similarly, the price of 10 grams of gold rose by Rs343, reaching Rs250,514.

Reports indicate that bullion market representatives attribute the surge in gold prices to global economic uncertainties following actions taken by the newly elected U.S. president, which include increasing import duties on products from China, the European Union, and Mexico.

These measures have sparked concerns of a potential global trade war, further intensifying worries about rising inflation rates worldwide.

As a result, global investors are increasingly turning to gold to protect their investments. They believe that in an environment of potential devaluation and rising inflation, gold remains the safest asset to safeguard their wealth.

Additionally, the continuous reduction in interest rates both globally and locally is further driving the trend toward gold investment. This trend has contributed to gold prices reaching historic highs.

Market predictions are also circulating that by 2025, the international price of gold per ounce may surpass $3,000, further propelling the demand for gold.