A tola now costs Rs113,500
Gold prices hit an all-time high in Pakistan Tuesday with a tola reaching Rs113,500.
On Tuesday, gold prices went up by Rs2,250. The precious metal has recorded 29% increase in its value since January 1, when a tola was priced at Rs88,150.
The prices of gold in Pakistan are largely determined by its international prices, which rose by $12 to reach $1825 per ounce – the highest in eight years.
Rays Commodities COO Adnan Agar says that there’s high uncertainty this year, which means gold prices may continue to increase.
“Coronavirus cases are yet to peak in America and the country with the biggest economy is also preparing to hold uneasy elections later this year as the pandemic would force government from holding elections in a traditional way,” Agar told Samaa Money. “Coronavirus may force government to hold online elections.
“President Donald Trump has apprehensions regarding holding online elections and all these are adding to the uncertainty,” he said. “If this environment of uncertainty continues for another six months then I think gold’s international prices may even break the psychological barrier of $2000 per ounce.”
Agar, however, believes that an early development of the coronavirus vaccine and Trump’s re-election as the US president may push gold prices down.
Gold recorded its highest price in the international market in August 2011 at $1,920 per ounce.