By Faryal Najeeb
KARACHI: Gold gained Rs540 to Rs20,314 per ten grams on Friday despite international bullion rates staying weaker after news that a $14 billion plan to bail out ailing US carmakers had failed, which sparked the selling of equities and commodities.
The yellow metal was valued at Rs23,700 per tola on Friday against Rs23,100 per tola a day earlier. President All-Pakistan Supreme Council of Jewellers Association, Alhaj Haroon Rashid Chand informed that the market had expected gold prices to decline in the coming days and the sudden hike had upset gold dealers and investors.
Chand shared that despite the significant hike, gold continued to remain under cost by Rs300 in the local markets. He further commented that some bullion markets in other cities of the country had remained closed on Friday as it was the fourth day of Eid. He said that these markets would resume normal trade from Saturday.
In the international bullion market, gold was valued at $813 an ounce as gold lifted from lows on Friday as the dollar softened against the euro, but a slump in crude oil prices also weighed on gold prices. Oil for January delivery fell as much as 5.9 per cent on concern that a prolonged recession will reduce fuel demand, the bulliondesk.com reported.