As of January 2026, the outlook for gold is exceptionally bullish, with the metal currently trading at historic highs around $4,760 per ounce, while Market sentiment suggests a “Great Gold Reset,” driven by a combination of aggressive central bank buying, intense geopolitical tension, and a shifting global financial order.
Analysts have significantly revised their targets upward following gold’s 70% return in 2025. For the 2026 Forecast, many major institutions (Goldman Sachs, J.P. Morgan) expect gold to reach $5,000 this year. Some aggressive estimates suggest it could even touch $6,000 or higher if current geopolitical crises escalate.
Long-term projections are more varied but remain positive. Conservative estimates place gold in the $5,500-$7,300 range by the end of the decade, while some analysts suggest it could eventually exceed $10,000 per ounce.
The threat of war in the Middle East and the recent diplomatic tensions between the US, Iran, and Venezuela have scared investors, due to which they are shifting their money to safe-haven assets, namely gold.
The possibility of further interest rate cuts by the US central bank in mid-January 2026 has increased the demand for gold in the global market. When interest rates are low, the dollar weakens, and gold becomes expensive.
The price of gold in Pakistan depends not only on the global rate but also on the value of the rupee against the dollar. The recent depreciation of the rupee has further put gold out of reach of the common man locally.
Experts believe that if global conditions remain the same, gold per tola in Pakistan could cross the Rs 500,000 mark by February 2026. According to a report by JP Morgan and other global financial institutions, gold is likely to reach $5,000 per ounce globally by the end of 2026, which means prices in Pakistan will rise further.
Due to the high prices, jewellery sales have fallen by 40% to 50%; however, demand for ‘investment gold’ (gold biscuits and coins) is still increasing as people consider it to be the best hedge against inflation.
Today, the prices of 24-karat gold in local bullion markets have increased by another Rs 4,700, after which the new prices Per Tola (24K) are Rs 493,622. 10 grams (24K): Rs 423,211, Per Tola Silver: Rs 9,869 (Rs 87 increase).
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