Business

Gold glitters again as record high inflation boosts demand

Published

2 years ago

Farwa

Gold price settles at Rs141,000 per tola.
A surge of over 1.43% per tola snapped four-day losing streak of gold.
Silver prices plummet by Rs50 per tola.

KARACHI: Gold prices rose on Thursday, as skyrocketing inflation dulled risk appetite and boosted demand for the safe-haven metal, although an advancing Pakistani rupee limited bullion’s gains.

Data released by All Sindh Sarafa Association showed that the gold price in Pakistan surged by Rs2,000 per tola and Rs1,715 per 10 grams to settle at Rs141,000 and Rs120,885.

A surge of over 1.43% per tola snapped the four-day losing streak of the yellow metal during which the price of gold declined by Rs8,100 in the local market.

Record high Pakistan’s consumer price index-bases inflation surged to a multi-decade high of 27.3% in August which pushed the gold price to a one-and-a-half-year-high.

The safe-haven asset reversed its downtrend today as multi-year high inflation data boosted the appeal of the asset; however, the appreciation of the Pakistani rupee was pulling at the heels of the gold market and limiting its upside.

Gold is traditionally seen as an inflation hedge. However, reduced central bank interest rate hikes tend to push government bond yields up, translating into a higher opportunity cost for holding gold that pays no interest.

Gold is considered a hedge against inflation, but interest rate hikes would raise the opportunity cost of holding non-yielding bullion.

In the international market, the price of yellow metal plunged by $13 per ounce to settle at $1,702. Gold prices briefly slid below the key $1,700 psychological level for the first time in six weeks, as major central banks stuck to an aggressive stance to combat inflation, dulling demand for non-yielding bullion.

It should be noted that the gold price stands below cost and is cheaper by Rs3,000 per tola compared to Dubai.

Meanwhile, silver prices in the domestic market plummeted by Rs50 per tola and Rs42.87 per 10 grams to settle at Rs1,470 per tola and Rs1,260.28 per 10 grams today.

Business

The inaugural flight of Azerbaijan Airlines is between Baku and Karachi.

Published

22 hours ago

Farwa

The national airline of Azerbaijan launched direct flights from Baku to Karachi today. There will be two weekly flights on this route, on Thursdays and Sundays.

The first flight will land in Karachi, and Azerbaijan’s ambassador, Khazar Farhadov, will be there to greet it.

This evening also marks the departure of the inaugural flight from Karachi to Baku, in addition to the arrival of the flight from Baku.

Azerbaijan Airlines said last month that it would be growing its network and flight operations in Pakistan.

Aviation insiders have verified that Azerbaijan Airlines is preparing to launch service to Karachi in the coming month of April.

In addition to its current services in Islamabad and Lahore, the airline plans to launch its Karachi route on April 18, with the inaugural flight anticipated to depart on that date.

Azerbaijan Airlines has been given permission to operate flights on the Karachi route, according to sources within the Civil Aviation Authority (CAA).

Following a bilateral agreement between the two nations, Azerbaijan Airlines has been given permission to extend its operations in Pakistan.

Business

Fly Jinnah opens a new route internationally.

Published

22 hours ago

Farwa

Two weekly flights will be the starting frequency of the new route, which will connect the two cities.

According to a representative for Fly Jinnah, the company is pleased to announce the opening of a third international route from Islamabad to Muscat, the capital city of Oman, marking another significant milestone after the successful debut of flights from Islamabad and Lahore to Sharjah.

According to him, this development is in line with our goal of giving our clients more options for reasonably priced, value-driven local and international air travel.

The airline serves five main cities in Pakistan: Karachi, Lahore, Islamabad, Peshawar, and Quetta. Its fleet consists of five Airbus A320 aircraft, all of which are contemporary.

In addition to the current flight path to Sharjah, United Arab Emirates, this new route expands Fly Jinnah’s network of foreign destinations.

Business

Tajir Dost app: traders don’t seem interested in registering

Published

22 hours ago

Farwa

To tax retailers in Pakistan, the Tajir Dost app was released. The sources stated that the government hopes to tax 3.5 million merchants through the app.

Ajmal Baloch, the president of All-Pakistan Anjuman-e-Tajran, stated that he made reservations with FBR on the SRO within a week.

The Federal Board of Revenue (FBR), according to him, cannot be a “Tajir Dost” because of its unethical actions.

Baloch believed that since electricity bills allow traders to pay a predetermined advance income tax, further taxes are unnecessary.

The trader, according to him, is already paying thirteen different kinds of taxes on the commercial meter. “A trader already pays between Rs. 15,000 and Rs. 20,000 in taxes annually, but you are requesting Rs. 1,200 per month in taxes.”

Mr. Ajmal summoned representatives of the Federal Board of Revenue (FBR) to a meeting with the trade associations to talk about the indirect taxes that the merchants are paying.

Additionally, he claimed that FBR officers are charging the traders, the majority of whom are less educated, “monthly charges.”