The impact was quickly felt in Pakistan’s local bullion market, where gold prices climbed to new highs. Investors, worried about uncertainty ahead, are once again treating gold as a financial shelter in stormy times.

In the international market, gold prices jumped by $148, reaching $5,064 per ounce. Following this surge, the price of one tola of gold in Pakistan rose to Rs 529,162, while 10 grams of gold traded at Rs 453,671.

This means gold became Rs 14,800 more expensive per tola and Rs 12,689 higher per 10 grams in a single day, an increase that reflects growing global anxiety.

Market experts say the situation worsened after reports that a US naval fleet shot down an Iranian drone, a development that strengthened gold’s image as a safe haven asset. At the same time, news of possible nuclear talks between the US and Iran in Oman added to market sensitivity, keeping investors on edge.

Adding another layer to the story, investors are closely watching the US Federal Reserve, as expectations are building for at least two interest rate cuts in 2026. Lower interest rates usually weaken traditional investments, making gold a more attractive choice.

Analysts believe that ongoing geopolitical risks and a likely low interest rate environment could push gold prices even higher in the coming months. For now, many investors see gold not just as a metal, but as a shield against uncertainty.