The price of gold recorded a sharp increase of Rs3,500 and was standing at Rs220,300 per tola for selling on March 4 in Pakistan, the All Sindh Sarafa Jewellers Association reported.

The price of 10 grammes of gold also increased by Rs3,001 to reach Rs.188,872 against the earlier price of Rs185,871.

Likewise, the price of 10 grammes of 22 karat gold went up to Rs173,132 from the previous price of Rs170,382.

The price of silver increased by Rs30 to settle at Rs2,600 per tola while 10 grammes of silver went up by Rs25.72 to Rs2,229.08.

In the international market, Gold started March on a positive note, with prices rising to a two-month high on Friday after muted economic data hardened expectations of a US interest rate cut by June.

Spot gold rose 2.1% to $2,086.21 per ounce, the highest since late December, and was on track for a second straight weekly rise.

US gold futures settled about 2% higher at $2,095.7.

Benchmark US 10-year Treasury yields and the dollar index retreated after the data, making gold more attractive.