The gold market closed on the last day of 2022 with a meagre loss of Rs200 per tola easing from its all-time high of Rs184,100 per tola recorded a day earlier.
After the loss, the price of the precious commodity closed at Rs183,900 per tola. Meanwhile, after a decline of Rs171 per 10 grams, the price closed at Rs157,665.
From Rs126,000 per tola on December 31, 2021, the safe haven asset gained Rs57,900 or 45.95% during the outgoing year 2022.
Investors poured money into the precious yellow metal to safeguard their positions during the year as the economic crisis led by political turbulence boosted the metal’s appeal.
Gold remained a safe haven against inflation — which reached a multi-decade high during the year. People invested in the commodity to avoid depreciation in the rupee.
It hit an all-time high of Rs184,100 per tola in late December. The gold price in dollar value, however, is hovering at around $1,800 per ounce these days. In the international market, gold remained more or less stable in 2022.
On July 28, when the Pakistani rupee touched an all-time low of Rs239.94 against the US dollar in the interbank market; gold price recorded its single-day highest rise of Rs10,500 per tola as investors scurried for a safe haven after a softening currency and bleak economic data underlined the shaky pace of growth.
Meanwhile, silver prices in the domestic market remained unchanged at Rs2,070 per tola and Rs1,770.74 per 10 grams.
The year saw silver prices rising in tandem with the yellow metal. Silver touched its all-time high of Rs2,100 per tola on December 22, 2022.
Gold shines over all other assets in 2022
The precious commodity outshined all other assets in 2022, becoming the top performer with a return of more than 40%, The News reported last week citing a report by Topline Securities.
The yellow metal was followed by a one-year dollar-denominated Naya Pakistan Certificate (NPC), and the US currency.
In the local sarafa bullion market, gold rallied in line with an increase in the US dollar rate in the black market. Currently, the precious metal is valued at black market parity rather than the official rate, which is 10% lower, the report mentioned.