May 22, 2023 (MLN): Domestic bullion continued its momentum on Monday, with 24-karat gold settling at Rs237,300 per tola, marking a gain of Rs2,000.
According to the Karachi Sarafa Association, the price of 10-gram 24-karat gold reached Rs203,446 per tola, growing by Rs1,714.
While 10-gram 22-karat gold stood at Rs186,493, increasing by Rs1,573.
Similarly, the price of silver also surged in the domestic market, with 24-karat silver rising by Rs50 to close at Rs2,900 per tola. And the price of 10-gram 24-karat silver gained Rs42.87 to close at Rs2,486.28 per tola.
On the other hand, international spot gold is currently trading at $1,973.07, down by 0.22% on the day.
Notably, US debt ceiling woes have lent support to gold prices. Earlier, U.S. Treasury Secretary Janet Yellen warned that the United States could run out of money to pay its bills by 1st June if Congress does not raise or suspend the debt limit.
In the last few weeks, the debt ceiling talks have become increasingly heated.
Moreover, the U.S. dollar index (DXY) has cooled down after almost a 2% rally in the past few days, currently trading 0.08% lower on the day, this makes dollar-denominated gold cheaper for investors holding other currencies.
Meanwhile, international spot silver fell by 0.4% and is currently trading at $23.75.