The price of gold was up by Rs1,100 per tola in the local market of Pakistan on Tuesday as the dollar battered the rupee in the interbank foreign exchange market.

The price of gold surged to Rs222,900 per tola after an increase of Rs1,100 in the domestic market.

Similarly, gold 10 grammes recorded an increase of Rs943 to hit Rs191,101 amid renewed pressure on the local unit and a hike in gold bullion prices.

In the international market, the gold bullion increased by $11 to clock-in at $1,903 per ounce on Tuesday.

The demand for the precious metal increases as the local currency comes under pressure. Investors opt for buying gold to secure their investment amid volatility in the currency market.

The greenback gained Rs3.02, or appreciated by 1.04%, against the rupee to close at Rs291.51, while the foreign currency soared to Rs300 in the open market.

This was the second lowest level since a record low of 298.93 on May 11, 2023, according to Arif Habib Limited.