Experts say whenever crises unfold, investors rush toward safe havens — and for centuries, gold has remained the ultimate refuge. This is why gold markets, including Pakistan’s, are witnessing a sharp surge.
According to Tim Waterer, Chief Market Analyst at KCM Trade in Australia, “Financial markets don’t like uncertainty, and when conditions are unstable, gold proves to be the safest investment.” That explains why global investors are now pouring billions into buying gold.
In the past two years alone, gold prices have soared due to multiple factors. The Ukraine war, instability in Gaza, and America’s unpredictable trade policies have all added pressure. Former US President Donald Trump’s aggressive trade stance further shook the global economy, leading investors to shift massive funds into gold.
Experts also highlight that many investors prefer gold because they lack full trust in government policies or financial institutions. Moreover, the reverse link between the US dollar and gold remains crucial — when the dollar weakens, gold climbs, and when the dollar strengthens, demand for gold falls.
Pakistan too is directly feeling the heat of this global trend. In the local market, the price of one tola of gold has touched Rs384,000 — the highest level in the country’s history. Analysts warn that if uncertainty and conflicts continue, prices are likely to rise even further in the coming days.
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The surge in gold prices reflects a classic investor behavior: when uncertainty rises, trust in traditional financial systems shrinks, and gold becomes the safest bet. Wars, weak trade policies, and dollar fluctuations are combining to fuel this rally.
For Pakistan, the record Rs384,000 per tola marks both an opportunity and a warning. While investors see it as a profitable refuge, ordinary citizens face a crisis as jewelry and savings become unaffordable. If global tensions remain unresolved, Pakistan’s already fragile economy could face deeper challenges from inflationary pressures tied to gold’s relentless rise.
