islamabad
Gold prices in Pakistan ripped higher as demand continued to remain northwards amid the elusive US dollar and a run-down rupee ahead of the monetary policy committee’s Monday meeting — where the central bank is seen taking a hawkish stance to stem runaway inflation.
Data released by the All-Pakistan Sarafa Gems and Jewellers Association (APSGJA) showed that the bullion price increased by Rs1,200 per tola and Rs1,029 per 10 grams to settle at Rs187,200 per tola and Rs160,494 per 10 grams, respectively. Gold is deemed an inflation hedge, but is extremely sensitive to monetary tightening, which multiplies the opportunity cost of holding the bullion, which is by and large, like other precious metals, a non-yielding asset.
