
Pakistan's foreign exchange reserves inched higher during the week ended September 26, 2025, with the State Bank of Pakistan (SBP) reporting an increase of $21 million.
According to SBP data, the central bank's reserves rose to $14.40 billion, up from $14.38 billion a week earlier. Net reserves held by commercial banks stood at $5.39 billion. This brought the country's total liquid foreign reserves to $19.79 billion as of September 26, 2025.
Furthermore, the Pakistani rupee sustained its upward momentum against the US dollar on Thursday, appreciating by 0.01% in the inter-bank market. At the close of trading, the local currency settled at 281.27, gaining four paisa from the previous day's close at 281.31.
In the global market, the US dollar steadied in early Asian trade after the US Supreme Court announced it would hear arguments in January about President Donald Trump's bid to remove Federal Reserve Governor Lisa Cook, leaving her in office for now.
According to Ismail Iqbal Securities, the rupee has depreciated 0.97% in the current calendar year to date but shows an appreciation of 0.89% in the current fiscal year to date.
Gold prices in Pakistan fell, mirroring the international market where bullion slipped nearly 1% after US Federal Reserve Bank of Dallas President Lorie Logan cautioned against aggressive rate cuts.
According to the All Pakistan Sarafa Gems and Jewellers Association, the price of gold per tola declined by Rs2,500 to settle at Rs407,778, while 10-gram gold dropped by Rs2,144 to Rs349,603. This correction comes after Wednesday's surge, when gold had climbed by Rs3,500 to hit an all-time high of Rs410,278 per tola.
In contrast, silver prices edged higher, with the per-tola rate increasing by Rs13 to Rs4,839.
Commenting on the international trend, Interactive Commodities Director Adnan Agar noted that the market had turned "slightly heavy" after hitting the peak of $3,897 earlier in the session. Later, it was trading around $3,840 with a low of $3,820.
He highlighted that the precious metal came within $100 striking distance of the $4,000 mark and warned that next moves would hinge on developments surrounding the US government shutdown.
"If the market closes above $3,800, we can expect a rebound within days," Agar said. "But if it falls below, further downside pressure may follow."
Spot gold was down about 1% at $3,828.75 per ounce by 11:35 am ET (1535 GMT). US gold futures for December delivery fell 1.1% to $3,853.20.
Logan said the US central bank appropriately took out some insurance against any sharp deterioration in the labour market with its interest rate cut last month, but needs to be "cautious" with any further cuts.
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