KARACHI: The local price of a tola and 10 grams of gold in the country peaked at Rs100,400 and Rs86,076, respectively, on Tuesday.
There was a gain of Rs700 and Rs600 per tola and prices of 10 grams as of Monday. The local bullion corps continues to issue "idea-only prices" since the closure of local markets, including jewelry, due to the Covid-19 blockade.
The All Sindh Saraf Jewelers Association (ASSJA) has quoted the world gold price of $ 1,721, an increase of $ 31 per ounce since Monday.
ASSJA President Haroon Rashid Chand said the association is updating local rates based on the global markets where the bullion is traded.
"Weekly and monthly verbal deals are made between bullion dealers across the country," he said.
"The association is also trying to raise price awareness among consumers so that they can be cautious during gold transactions," said Chand.
The federal government has extended the partial shutdown until April 30. The measure has affected commercial activities in all markets, including jewelry. Currently, large wedding functions are prohibited, and as a result, most weddings take place at home. Since the pandemic shows no signs of slowing down, reservations in the wedding hall will remain suspended during Ramazan, which begins on April 24.
Jewelers certainly feel the pinch of business loss. Pre-orders for wedding games, which were placed before Ramazan, have decreased considerably.
President of the Pakistan Jewelers Association (APJA), Mohammad Arshad, said that online gold trading is thriving in world markets as the yellow metal is considered a safe haven in difficult times.
However, in Pakistan, online gold trading is only one or two percent. Trading is done in less than five grams rather than a tola or more, ”said Arshad.
He added that there is a possibility that some owners of small gold processing factories are trading online due to their social circles.
Posted in Dawn, April 15, 2020