Global financial markets rallied on Monday after the United States and Iran reached an interim agreement that included a ceasefire, a broader framework for negotiations, and the reopening of the Strait of Hormuz.
The development eased concerns over energy supply disruptions, inflationary pressures, and the risk of higher interest rates.
The announcement triggered significant market movements. Oil prices declined sharply, gold prices surged, and Bitcoin climbed to its highest level in nearly two weeks. Global equity markets also advanced as investor sentiment improved.
Oil markets reacted immediately to the agreement. Brent Crude fell by as much as 5.3%, dropping below $83 per barrel, while West Texas Intermediate (WTI) briefly slipped below $80 per barrel.
In contrast, gold prices rose sharply. In the United Arab Emirates, 24-karat gold increased from AED 508.50 per gram on Sunday to AED 522.75 per gram by Monday afternoon. Meanwhile, 22-karat gold climbed from AED 470.75 to AED 484 per gram.
In Pakistan, gold prices reached an all-time high of Rs455,136 per tola following a sudden surge in the domestic market.
According to jewelers’ associations, the price of gold increased by Rs10,800 per tola in a single session, pushing prices to record levels. The price of 10 grams of gold also rose by Rs9,720, reaching Rs389,600.
In the global bullion market, gold jumped by $108 per ounce, closing at a new record high of $4,327 per ounce. The sharp increase had a direct impact on gold prices in Pakistan.
Silver buyers also faced higher costs, with the price of silver increasing by Rs230 per tola nationwide. The new silver price now stands at Rs7,509 per tola.
Market dealers attributed the rally in precious metals to ongoing global economic uncertainty and continued investor demand for safe-haven assets, particularly gold, despite the easing of geopolitical tensions.
