Islamabad, (TLTP): The price of gold on Monday surged to its highest level in seven years in international market while it reached all-time high in Pakistan, as worries about the coronavirus led investors to seek a safe place for their money.
Gold prices climbed more than 2% on Monday to the levels not seen since February 2013. The price for immediate delivery went as high as $1,678.58 an ounce before falling back slightly.
In Pakistani market, gold price moved up by Rs 2,000 and reached Rs 96,300 per tola. Similarly, the price of 10 grams of gold was increased by Rs 1715 and reached Rs 82,562.
The gold prices in local and international market rose because of stockers who preferred purchasing gold amid trade issues created after the emergence of coronavirus.
Pakistan Stock Exchange was a sea of red with the KSE 100 Index after losing 1,105 points (-2.75 percent) closed at 39,143 points. The Index volume was almost 104 million shares and the value of shares traded was Rs 4.72 billion. The index ranged between 39079-40249 points.
The situation was not different at international level as global shares and oil slid while safe-haven gold surged as the spread of the coronavirus outside China darkened the outlook for world growth with infections and deaths rising in South Korea, Italy and the Middle East.
In a sign of panic, U.S. stock futures were sold with E-minis for the S&P500 falling 1.2% in early Asian trade while Nikkei futures slipped over 2%. EuroStoxx 50 futures declined 1.5% while futures for London’s FTSE skidded 1%. Asian share indexes were also a sea of red.
The virus has killed 2,619 people in China, which has reported 76,936 cases, and slammed the brakes on the world’s second largest economy.
Economists have roundly downgraded growth forecasts for China as well as the world as travel restrictions and lockdowns have already hit tourism, supply chain and factory output in a number of countries.
