Latest news with #AdnanAgar
Express Tribune
19 hours ago
- Business
- Express Tribune
SBP injects Rs1.15tr to stabilise markets
Listen to article The State Bank of Pakistan (SBP) conducted a major liquidity injection on Friday, deploying a total of Rs1.148 trillion into the banking system through a mix of conventional and Shariah-compliant open market operations (OMOs). Under the conventional reverse repo facility, SBP injected Rs970 billion, including Rs250 billion for a 6-day tenor at 11.10% and Rs720 billion (partially accepted) for a 14-day tenor at 11.08%. Simultaneously, the Shariah-compliant Mudarabah OMO contributed Rs178 billion, split almost evenly between 6-day and 14-day tenors, both priced at 11.10%. This Rs1.15 trillion operation is among the largest single-day liquidity injections this year, signalling the SBP's proactive approach to maintaining stability in the interbank market amid tight liquidity conditions. Meanwhile, the Pakistani rupee posted a marginal gain against the US dollar in the interbank market, appreciating by 0.02% on Friday. By the end of the trading session, the local currency closed at 282.02, up by five paisas from Thursday's closing rate of 282.07. According to Ismail Iqbal Securities, the rupee has depreciated by 1.23% on a calendar year-to-date (CYTD) basis and by 1.30% on a fiscal year-to-date (FYTD) basis. On the commodities front, gold prices in Pakistan declined on Friday, reflecting losses in the international market. The fall came as the US dollar gained strength and investors responded to recent tariff announcements. However, a softer US inflation report sustained hopes of a possible interest rate cut. According to the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA), the price of gold dropped by Rs700 per tola, settling at Rs348,600, while the rate for 10 grams decreased by Rs599 to Rs298,868. Adnan Agar, Director at Interactive Commodities, said the market remains range-bound. "Gold hit a high of $3,322 and is trading around $3,290, with strong support at $3,260," he noted, adding that, "Unless the price breaks above $3,340$3,350, downward pressure is likely to continue."
Express Tribune
2 days ago
- Business
- Express Tribune
Inflation risks mount despite macro stability
Listen to article The latest monthly economic outlook report has raised concerns about a potential increase in inflation ahead of the upcoming budget. Inflation for the current month is expected to remain between 1.5% and 2%, with a possible rise to 3-4% next month. In April, the annual inflation rate stood at a low 0.3%. The report highlights continued growth in exports and remittances, along with a gradual recovery in large-scale manufacturing. Production of vehicles and imports of raw materials have increased, although large-scale manufacturing recorded a 1.47% decline between July and March. Favourable weather conditions and additional water supply are expected to boost agricultural output, which should contribute positively to overall economic growth. Remittances grew by 30.9% over ten months, reaching $31.21 billion, while exports increased by 6.8%, totalling $27.27 billion between July and April. The current account remained in surplus at $188 million. Imports rose by 11.8% to $48.61 billion. However, foreign direct investment dropped by 2.8% to $178 million. Tax revenue increased by 26.3% to Rs930 billion, and non-tax revenue surged by 69.9% to Rs409.9 billion. Meanwhile, the State Bank of Pakistan's (SBP) foreign exchange reserves rose to $11.4 billion. Overall, the report signals cautious optimism for economic growth amid inflationary pressures. The SBP's foreign exchange reserves increased by $70 million during the week ended May 23, 2025, reaching $11.516 billion, according to data released on Thursday, according to the SBP's latest data. The country's total liquid foreign reserves stood at $16.637 billion. Of this, $5.121 billion was held by commercial banks, while the SBP accounted for the remaining $11.516 billion. Rupee records slight gain Meanwhile, the Pakistani rupee regained slightly against the US dollar, gaining 0.04% in the interbank market on Thursday. By the end of trading, the rupee closed at 282.07, improving by Rs0.10 against the dollar. The interbank market remained closed on Wednesday due to the Yaum-e-Takbeer holiday. On Tuesday, the rupee had ended at 282.17. The US dollar strengthened sharply on Thursday after a court struck down former President Donald Trump's proposed Liberation Day import tariffs, posting strong gains against the euro, yen, and Swiss franc. Gold remains steady Moreover, gold prices in Pakistan remained steady on Thursday, mirroring the international market where prices edged higher amid volatile trading, supported by weaker US jobs data and a court decision blocking key tariffs imposed during former President Donald Trump's term. Locally, the price of gold per tola held firm at Rs349,300, while the rate for 10 grams also remained unchanged at Rs299,468, as reported by the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA). On Wednesday, the per tola price had climbed by Rs1,400 to reach Rs349,300. Commenting on market trends, Adnan Agar, Director at Interactive Commodities, said the market hit a low of $3,250 and a high of $3,320 before settling at $3,300. He noted that the market did rebound from its low, but a close above the $3,330-$3,340 range is crucial to maintain stability. If it falls below the $3,270-$3,260 mark, prices could slide further to $3,220 or even $3,200, he warned. Globally, gold prices rose in volatile trading on Thursday, aided by softer jobs data, while market participants also digested a court ruling that blocked most of US President Donald Trump's tariffs, according to Reuters. Spot gold reversed course to rise 0.9% to $3,319.22 an ounce, as of 1337 GMT, after hitting its lowest since May 20 earlier in the session.
Express Tribune
3 days ago
- Business
- Express Tribune
Gold rises Rs1,400 as global market recovers
Listen to article Gold prices in Pakistan rose on Wednesday, tracking gains in the international market as investors sought bargains following a dip in the previous session. The local uptick comes amid global anticipation surrounding the release of minutes from the US Federal Reserve's latest policy meeting. According to the All Pakistan Gems and Jewellers Sarafa Association (APGJSA), the price of gold per tola climbed by Rs1,400 to reach Rs349,300. Similarly, the price of 10 grams of gold increased by Rs1,200, settling at Rs299,468. This rebound followed a sharp drop on Tuesday when gold fell by Rs3,600 per tola to close at Rs347,900. Commenting on the trend, Adnan Agar, Director at Interactive Commodities, noted that international gold prices remained volatile but within a defined trading range. "The market touched a high of $3,325 and a low of $3,290 today, currently trading around $3,300," he said. "The $3,270 level is proving to be a strong support, from where the market has bounced back. On the upside, $3,350 is a key resistance." He explained that gold has been trading in a range-bound pattern, citing historical movements from $3,120 to $3,600. "Profit-taking is likely when prices approach upper resistance levels. On the downside, unresolved tariff issues and geopolitical tensions, particularly the ongoing Russia-Ukraine conflict, continue to weigh on sentiment." Agar added that unless these global hurdles are permanently resolved, gold is expected to remain within the $3,270 to $3,360 range. "A breakout beyond either end could push prices towards $3,200 or $3,420-3,500, respectively," he concluded. Globally, gold prices rose on Wednesday as traders sought bargains following the previous session's declines, while the market remains focused on minutes from the Federal Reserve's latest policy meeting due later in the day, according to Reuters. Spot gold gained 0.4% to $3,312.05 an ounce by 1255 GMT, after hitting a session low of $3,285.19 on Tuesday. US gold futures rose 0.3% to $3,310.60. "The gold market has been kind of choppy recently, just reacting to fresh daily fundamental news events with no real trending price action. In the near term, the market top is in place," Jim Wyckoff, Senior Analyst at Kitco Metals, said. "The minutes can be market movers. Market watchers are going to be looking at new comments on inflation this afternoon." Minutes of the Fed's May policy meeting are due at 1800 GMT. The meeting took place amid heightened concern over global trade tensions, following President Trump's early April announcement of major new import tariffs. Some of the most aggressive tariffs were eased or delayed a week later. Gold, which performs well in a low-interest rate environment and serves as a safe haven during times of uncertainty, has gained 26% so far this year and hit a record high in April.
Express Tribune
5 days ago
- Business
- Express Tribune
Gold falls Rs2,600 on global slowdown
Globally, gold prices rose for a third straight session, helped by a softer dollar and safe-haven demand amid economic and geopolitical uncertainty. photo: Reuters Local gold prices declined on Monday, tracking a slowdown in the international bullion market. According to the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA), the price of gold dropped by Rs2,600 per tola, settling at Rs351,500 in the local market. The price of 10-gram gold also fell by Rs2,228, closing at Rs301,354. The downturn comes after a notable gain over the weekend when gold prices surged by Rs3,100 per tola on Saturday to hit Rs354,100. Globally, gold prices also saw a dip on Monday. The international rate stood at $3,331 per ounce (including a $20 premium), reflecting a decrease of $26, according to APGJSA. Adnan Agar, Director at Interactive Commodities, noted that market activity was subdued due to a US bank holiday, with early closure and minimal trading volumes. "The market is practically flat today. The high was $3,356, while the low touched $3,323. It's currently hovering around $3,335," he said. Agar added that the recent easing of trade tensions between the US and Europe also contributed to the decline. The issue of additional European tariffs, hinted at by former President Donald Trump on Friday, was resolved over the weekend after discussions with the European Union. Trump agreed to delay the tariffs, which led to pressure on gold prices. He further predicted that prices may continue to slide once international markets resume full operations on Tuesday. Meanwhile, the Pakistani rupee recorded a minor loss against the US dollar on Monday, slipping by 0.03% in the inter-bank market. The local currency closed at 282.06, down by Rs0.09 from the previous session, according to data released by the State Bank of Pakistan (SBP). During the preceding week, the rupee had also weakened slightly, depreciating by Rs0.31 or 0.11%, ending at 281.97 against the greenback compared to 281.66 a week earlier. "At the close of the trading session, the Pakistani rupee depreciated by 0.03% day-on-day (DoD) against the US dollar, settling at 282.06. On a calendar year-to-date (CYTD) basis, the rupee has weakened by 1.24%, while the depreciation stands at 1.32% on a fiscal year-to-date (FYTD) basis," wrote Ismail Iqbal Securities. On the global front, both the euro and the US dollar gained ground against traditional safe-haven currencies like the Japanese yen and Swiss franc. The uptick followed former US President Donald Trump's announcement of a July 9 deadline for finalising a trade agreement with the European Union, effectively withdrawing his earlier threat of imposing a 50% tariff starting June 1.
Express Tribune
22-05-2025
- Business
- Express Tribune
Gold jumps Rs6,600 on global rally
Globally, gold prices rose for a third straight session, helped by a softer dollar and safe-haven demand amid economic and geopolitical uncertainty. photo: Reuters Listen to article Gold prices in Pakistan surged on Wednesday in tandem with gains in the international market, where bullion extended its upward streak for a third consecutive session, reaching a one-week high. The global rally was driven by a softer US dollar and renewed safe-haven demand amid prevailing economic and geopolitical uncertainty. According to the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA), the price of gold per tola in the domestic market rose sharply by Rs6,600, settling at Rs349,400. Similarly, the rate for 10 grams increased by Rs5,659 to Rs299,554. A day earlier, gold prices had edged up by Rs300 per tola, reaching Rs342,800. Adnan Agar, Director at Interactive Commodities, noted that while gold is currently trading around $3,310 in the international market, it faces significant resistance near the $3,350 level. "There is potential for further upside if this resistance is breached, possibly pushing prices toward $3,380 and $3,420," he said. "However, if the market fails to break this level, a pullback toward $3,280 or even $3,270 is likely." He added that trading remains relatively subdued, with gradual movement and limited momentum compared to previous sessions. Market activity may also be affected by the upcoming US bank holiday on Monday, which could influence global trading volumes and price direction in the short term. Globally, gold prices rose for a third straight session on Wednesday and hit a one-week high, helped by a softer dollar and safe-haven demand amid economic and geopolitical uncertainty. Spot gold was up 0.7% at $3,312.51 an ounce, as of 1553 GMT. US gold futures climbed 0.9% to $3,315.60. The US dollar fell 0.6% against a range of other currencies, making gold less expensive to buy for overseas currency holders. Wall Street's main indexes slipped and government bond yields rose, as investors closely watched a pivotal debate over US President Donald Trump's tax-cut bill that has fanned concerns about the country's growing debt. The Pakistani rupee weakened slightly against the US dollar in the interbank market on Wednesday, posting a minor depreciation of 0.02%. By the day's end, the local currency closed at 281.97, slipping by five paisas compared to the previous day's close of 281.92. Ismail Iqbal Securities wrote that on a cumulative basis, the local currency has depreciated by 1.21% since the beginning of the calendar year (CYTD) and by 1.29% since the start of the fiscal year (FYTD).
