KARACHI:

The State Bank of Pakistan (SBP) reported a $23 million increase in its foreign exchange reserves during the week ended April 30, 2026, which reached $15.85 billion.

The country’s total liquid foreign reserves stood at $21.29 billion, of which commercial banks held net reserves of $5.44 billion. Furthermore, the rupee saw a marginal gain of Rs0.01 against the US dollar, closing at 278.71 in the interbank market against the previous close at 278.72.

Meanwhile, gold prices in Pakistan surged on Thursday in line with gains in the international market, where bullion extended its rally for a third consecutive session amid improving sentiment over a possible peace agreement between the United States and Iran.

In the local market, the price of gold per tola jumped Rs7,800 to settle at Rs496,762, according to rates issued by the All-Pakistan Gems and Jewellers Sarafa Association. Similarly, the price of 10-gram gold increased by Rs6,687 to Rs425,893.

The rise follows Wednesday’s sharp increase, when gold prices climbed Rs11,100 per tola to close at Rs488,962. Internationally, spot gold gained 1% to $4,733.59 per ounce by 11:50 am EDT (1550 GMT), after touching a two-week high earlier in the trading session, according to Reuters. US gold futures advanced 1.1% to $4,744 per ounce.

Market analysts said gold remained supported by easing geopolitical concerns and expectations surrounding the US monetary policy. Optimism that Washington and Tehran may move towards a diplomatic understanding dashed fears of prolonged inflationary pressures and lowered expectations of higher-for-longer interest rates, improving investor appetite for bullion. At the same time, investors remained cautious ahead of the closely watched US employment report due on Friday, which could provide further direction regarding the Federal Reserve’s rate trajectory.

Meanwhile, silver prices in Pakistan also moved higher, with the rate per tola increasing Rs373 to Rs8,445. Interactive Commodities Director Adnan Agar said gold witnessed strong volatility during the day, touching a high of $4,764 in the international market after opening around the $4,700 level. “Later, the market was trading near $4,715. For the bullish trend to continue, the market needs to cross and close above $4,875,” he said. According to Agar, if gold manages to sustain above that level, the next target could be $4,850, followed by $4,900 and eventually the psychologically important $5,000 mark.

However, he cautioned that failure to hold above $4,700 could trigger a bearish phase. “If the market closes below $4,700, it would enter a dangerous zone where prices could decline from $4,600 towards $4,500,” he noted.

Agar added that developments between the US and Iran, along with movements in crude oil prices, would remain key drivers for the bullion market in the coming days. Oil prices extended losses on Thursday, while data also showed that China’s gold reserves rose for the 18th consecutive month in April, reflecting sustained central bank demand for the precious metal.