Gold has once again reminded the world why it remains the ultimate refuge in times of uncertainty. On Monday, prices in Pakistan smashed all previous records, climbing beyond Rs532,000 per tola, as a powerful surge in global bullion markets sent shockwaves through local trading floors.

This latest jump wasn’t just another routine uptick—it marked a continuation of a rally that has been gathering momentum for weeks, driven by a perfect storm of geopolitical tensions, currency instability, and nervous global investors seeking safety.

In the domestic market, gold prices surged sharply, with per tola rates jumping by Rs10,900 in a single session, according to the All-Pakistan Gems and Jewellers Sarafa Association. The price of 10 grams of gold also climbed, reinforcing the sense that local bullion markets are firmly in bullish territory.

What’s more striking is the pace of the move. Just days earlier, gold had already posted a strong gain, signalling that buyers remain undeterred by rising prices. For many investors in Pakistan, gold continues to serve as both a hedge against inflation and a shield from currency uncertainty.

The real spark, however, came from overseas. Global gold prices stormed past the $5,000-per-ounce psychological barrier, setting fresh all-time highs. The rally has been fueled by heightened geopolitical risks, particularly renewed tensions involving Iran and Greenland, alongside a weakening US dollar and increased volatility in major currencies.

The Japanese yen’s sharp and disorderly movements have added another layer of anxiety to global markets, pushing investors toward hard assets. As a result, spot gold touched an intra-day peak above $5,110, while futures prices closely followed suit.

While gold grabbed headlines, silver quietly delivered one of the most dramatic moves of the day. Prices surged nearly 15% in a single session, reaching record levels and outperforming gold by a wide margin.

Market analysts noted that silver’s explosive rally has drawn renewed interest from traders looking for higher volatility plays within the precious metals space. Platinum also joined the party, registering all-time highs and reinforcing the broader bullish trend across the metals complex.

Pakistan’s silver market reflected this global momentum, with local prices climbing sharply, another sign of how tightly connected domestic rates have become to international benchmarks.

Adding to the optimism, global investment bank Societe Generale has projected that gold could climb as high as $6,000 per ounce by year-end, citing structurally strong demand and persistent macroeconomic risks.

Local market experts echo this sentiment, noting that while gold’s rise has been impressive, silver’s recent performance has been even more eye-catching—suggesting that speculative interest may be broadening beyond traditional safe-haven buyers.

What Lies Ahead?

With geopolitical tensions unresolved and global financial markets on edge, precious metals appear well-positioned to remain in focus. For Pakistani investors, the surge highlights both opportunity and risk—while gold continues to protect purchasing power, its elevated prices also raise questions about affordability and timing.

One thing is clear: in an increasingly uncertain world, gold’s glitter has rarely shone brighter.

 
Credit: Independent News Pakistan (INP)