Gold and silver prices in Pakistan have surged to record levels in recent weeks as global economic and geopolitical uncertainties drive investors toward safe-haven assets. Analysts note that the sharp rise in gold has made it less accessible for small-scale investors, increasing interest in alternative metals such as silver and copper.
Adnan Younus Agar, Director at Interactive Commodities Pvt Limited, told Business Recorder that gold has become “out of reach for many” in Pakistan, prompting robust investment in silver over the past three to four months. He also noted that copper is gaining attention due to its low price, although it is quickly catching up with other metals in terms of demand.
Internationally, gold prices fell slightly on Friday, pressured by a firmer US dollar, yet the metal is poised for its largest monthly gain since 1980. Spot gold dropped 0.9% to $5,346.42 per ounce after hitting a record $5,594.82, representing a 24% increase for January so far. Similarly, silver experienced a minor decline of 0.2% to $115.83 per ounce following a record $121.64, while recording a 62% gain in the month. China’s strong demand has been cited as a key driver of the global silver rally.
Looking ahead, Agar expects the silver rally to continue in the short term, projecting prices could reach $200 per ounce by year-end. However, he also cautioned that silver may experience sharp corrections of 30–40%, potentially pulling back to $75–80 per ounce. Silver remains accessible to Pakistani investors in quantities ranging from one gram to one kilogram, widening its appeal to different investor segments.
Gold continues to command a strong long-term outlook despite its elevated price. Central banks and international investors are buying aggressively, and major financial institutions, including JP Morgan and Goldman Sachs, have projected gold prices could reach $5,500–5,600 per ounce, with potential highs of $6,000–6,500 in 2026. Agar noted, however, that a pullback to around $5,000 remains possible amid market volatility.
Copper has also emerged in investor discussions due to rising global demand and low relative pricing. Yet Agar warned that both silver and copper face resale challenges in Pakistan due to a lack of standardisation and wide price spreads in the local jewellery market. In contrast, gold maintains liquidity and recognition, making it more suitable for investors seeking ease of trade.
He highlighted that physical delivery of silver and copper is not yet available on Pakistan’s mercantile exchange, further limiting their investment appeal. Despite short-term volatility and corrections, analysts remain positive on the broader outlook for precious metals as long as global demand, particularly from China and central banks, continues to support the market.
The rally underscores a shift among Pakistani investors toward diversifying portfolios within the commodities space, balancing accessibility, risk, and long-term growth potential.
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