Gold and Silver Prices surge amid global uncertainty
Gold and Silver Prices continued their upward trend on Wednesday, touching fresh record highs in both international and domestic markets, as investors reacted to rising geopolitical tensions and growing uncertainty in global financial markets.
Market analysts say the latest surge has been driven by increasing strain between the United States and European Union countries following developments related to Iran and Greenland. At the same time, renewed tariff threats from former US President Donald Trump have added to concerns over global trade stability, prompting investors to move towards safe-haven assets.
Central banks increase gold holdings
Another major factor supporting higher prices is the growing shift by central banks, particularly in BRICS countries, towards increasing gold reserves. In an effort to safeguard national assets and reduce reliance on the US dollar, several central banks have stepped up gold purchases in recent months.
This steady institutional demand has provided strong support to international bullion markets, keeping prices elevated despite short-term fluctuations. Analysts believe central bank buying has become one of the key long-term drivers behind gold’s sustained strength.
Sharp rise in international gold prices
In the international bullion market, gold prices recorded a significant single-day jump. The price of gold rose by $127 per ounce to reach a new all-time high of $4,840. Traders attributed the sharp increase to strong buying interest amid ongoing political and economic uncertainty.
Concerns over currency volatility and the future direction of monetary policies have further strengthened gold’s appeal as a store of value. Market participants noted that safe-haven demand remained strong throughout the trading session.
Domestic gold rates hit historic levels
The rally in global markets was quickly reflected in local prices. In Pakistan, the price of gold per tola surged by Rs12,700 to reach a record high of Rs506,362. This marked one of the largest daily increases seen in recent weeks.
Similarly, the price of 10 grams of gold rose by Rs10,888, settling at Rs434,123. Gold dealers said the sharp rise was mainly due to higher international prices, coupled with local market dynamics.
Silver prices also move higher
Silver prices followed the same upward trend. The price of silver per tola increased by Rs64 to reach Rs9,933, while the price of 10 grams of silver rose by Rs54 to Rs8,515.
Although silver prices are often more volatile than gold, traders said demand remained firm, supported by both investment interest and industrial usage.
Market outlook
Market participants remain cautious about the coming days, as precious metal prices continue to respond to geopolitical developments, trade-related uncertainty, and central bank policies. Analysts believe that any further escalation in global tensions could keep gold and silver prices at elevated levels.
However, they also note that movements in global interest rates and currency markets will remain key factors influencing future price trends.
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