Gold prices remained on a large scale in Pakistan on Monday, according to the data collected by FXSTREET.
The price of gold was 31186.62 PKR (PKR) per gram, widely stable compared to PKR 31,206.85 cost on Friday.
The gold price was widely fixed at PKR 363,754.60 per Tola from PKR 363,990.50 for each TOLA on Friday.
| Unit | Gold price in PKR |
|---|---|
| 1 gram | 31,186.62 |
| 10 grams | 311,866.20 |
| Tire | 363,754.60 |
| Specify an ounce | 970,035.60 |
Daily Digest Market Movers: The bulls turn into caution before the decisive federal reserve policy decision on Wednesday
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Iran launched a new and unmanned missiles and aircraft in Israel on Sunday evening, while the latter said it started another series of strikes on military targets throughout Iran. The deadly strikes between Israel and Iran continued on Monday, as Israel pledged to intensify its work against Iran.
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This comes in addition to the constant uncertainty surrounding US President Donald Trump’s commercial policies and raises the price of safe gold to the peak of nearly two months during the Asian session on Monday. A mixture of factors, however, maintains a cover on any other gains of the commodity.
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The markets have not yet interacted with the growing military conflict between Israel and Iran, which is evident from a positive tone about Asian stocks. In addition, the highly humble US dollar contributes to the formation of the precious metal and demands some sale inside the day.
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However, it seems that any aspect of the bullish dollar is out of reach because traders may choose to wait for more signals about the path of reducing the federal reserve rate before setting new directional stakes. Consequently, the focus on FOMC’s decisive policy decision, scheduled to be announced on Wednesday.
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It is widely expected that the US Central Bank will maintain interest rates unchanged. However, traders were upgraded at the possibility that the Federal Reserve would change its position that interest rates will remain unchanged in the near term amid inflation in the United States and signs of cooling economy.
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Expectations will play a major role in influencing the dynamics of the dollar price close to the dollar and providing some calm motivation to Xau/USD. Meanwhile, the risk of increasing geopolitical tension in the Middle East may continue to work as the back wind of yellow metals.
FXSTREET is calculated gold prices in Pakistan through international prices (USD/PKR) with local currency and measurement units. Prices are updated daily based on the market prices that were taken at the time of publication. Prices are only to return to them and local prices can diverge a little.
Common Gold questions
Gold played a major role in human history, as it was widely used as a store for value and exchange. Currently, regardless of its brilliance and use of jewelry, the precious metal is widely seen as a safe asset, which means it is considered a good investment during turbulent times. Gold is also widely seen as a hedge against inflation and against currency decline because it does not depend on any specific source or government.
Central banks are the largest gold holders. In their goal to support their currencies at troubled times, central banks tend to diversify their reserves and buy gold to improve the powerful power and currency. High gold reserves can be a source of confidence to the dissolved country. Central banks added 1136 tons of gold worth $ 70 billion to their reserves in 2022, according to the data of the Golden Golden Council. This is the highest annual purchase since the start of the records. Central banks of emerging economies such as China, India and Turkey increase their gold reserves.
Gold has a counter -relationship with the US dollar and the United States Treasury, which is one of the main reserves and safe assets. When the dollar decreases, gold tends to rise, allowing investors and central banks to diversify their assets at turbulent times. Gold is inversely associated with the origins of the risk. The assembly in the stock market weakens the price of gold, while sales in the most dangerous markets tend to prefer precious metal.
The price can move due to a wide range of factors. Geopolitical instability or fears of deep stagnation can escalate the price of gold due to its safe situation. As a lower asset than the return, gold tends to rise with low interest rates, while the high cost of money usually reaches the yellow metal. However, most moves depend on how the US dollar (USD) is behaved as the original is priced in dollars (Xau/USD). The strong dollar tends to maintain the price of gold -controlled gold, while the weakest dollar is likely to increase the price of gold.
(The automation tool was used to create this post.)
