Domestic gold market records a Rs2,700 rise per tola

March 04, 2024 (MLN): The domestic bullion market is experiencing an upward trend as prices have surged for the fifth consecutive session, with 24-karat gold rising by Rs2,700 per tola to reach Rs223,900 on Tuesday.

In just these past five trading sessions, domestic investors have joyed a gain of 4.24% or 9,100 per tola.

The Karachi Sarafa Association further reported that the price of 10-gram 24-karat gold reached Rs191,958 per tola, reflecting a rise of Rs2,315.

Likewise, the price of 10-gram 22-karat gold also saw an increase and was being quoted at Rs175,962.

Conversely, silver prices remained unchanged today, with 24-karat silver being sold at Rs2,600 per tola and Rs2,229.08 per 10-gram.

It is crucial to note that this spike follows last week's surge, where domestic prices were boosted due to higher international prices.

International spot gold is trading at $2,114.89, currently at its highest point since December 04.

The data on manufacturing activity in the U.S. showed that production slumped, while the data on prices came in line with market expectations, causing a further decline in the Dollar and resulting in extended gains for the safe-haven asset.

Meanwhile, Fed's Raphael Bostic said on Monday that the bank is under no pressure to cut rates urgently, highlighting a "prospering" economy and job market, as Reuters reported.

Market focus now turns to Fed Chair Powell's two-day congressional testimony on Wednesday and Thursday, in a jobs data-heavy week, as investors seek more clues on the health of the U.S. economy and potential timing of the central bank's rate cuts.

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