US-Iran Standoff Triggers Gold, Silver Surge Amid Inflation Fears
The current standoff between the US and Iran has led to increased volatility in precious metals. President Trump's demand for historical conflict compensation from Tehran has effectively stalled peace talks, crushing any immediate hope of reopening the Strait of Hormuz. This development has triggered a surge in global oil prices, fueling fresh inflation fears among investors.
In response, anxious investors are turning to gold and silver as safe-haven assets. The sudden jump in demand has pushed local gold and silver prices sharply higher in Pakistan's Sarafa markets, which constantly adjust prices to absorb these macroeconomic shocks.
The current international rates for gold and silver stand at $4,533.91 per troy ounce and $68.978 per troy ounce respectively, while the corresponding local rates in Pakistan are Rs. 473,045 per tola and Rs. 7,187.50 per tola for gold and silver.