The gold price in the local bullion markets on Saturday hits fresh peak of Rs46,800 per tola breaking the previous record level of Rs45,500 touched in the beginning of the current month on the back of ongoing simmering European sovereign debt concerns, inflationary price pressures of China and the US continue to drive investors to buy the precious metals as an inflation hedge. The 10 gram gold price also rose to Rs40,160 from Rs39,096 as international yellow metal prices has touched to new height of $1,487.00 per ounce from $1,429 per ounce on Friday. The international bullion market witnessed above $15 surged in the price of gold in a single day. Theres no shortage of reasoning that investment strategists and economists have predicted for further price spike in gold up to $1,600 per ounce before the start of the next year as India is using all energies to purchase yellow metal from open market as even lay man of Indian soil prefers to hold yellow metal, no matter even if he has been deprived of one-time meal in a day coupled with China fears over high inflation. Though, rupee remained firm against dollar this week but the hard fact is that it is near 32 per cent weak. The experts are of the view that dollar-rupee parity would further erode in near future as it is unlikely that Pakistan would get already delayed tranche from international finance agency IMF. At international level, the price of gold hits a fresh record high point this week as Chinas consumer price index rose 5.4 percent year-on-year in March the fastest pace since July 2008 and well above the governments 2011 target of four percent. The US consumer price index also rose, though meagre, by 0.5 percent in March, while Indias inflation rate unexpectedly accelerated while eurozone price rises ran at 2.7 percent last month, way above a 2.0 percent target. Elsewhere on Friday, Moodys cut its credit ratings on Ireland by two notches to just above junk status, citing an expected decline in government finances that is set to hamper recovery of the indebted eurozone nation. It happened first time in the history of precious yellow metal that trading on the London bullion market, gold rose to $1,476.75 an ounce from $1,469.50 a week earlier which was the highest level in known history on the back of Chinas consumer price index while Silver climbed to $42.61 an ounce from $ on Friday, The glamorous precious metal, whose two main drivers are jewellery and investment buyers, is widely regarded as a safe haven in times of economic and political uncertainty, and a good store of value amid soaring inflation. China governments tight monitoring policy and its consumer prices index rise have put the investors at fix and they feel fear in investing other than precious yellow metal. As a result, the glamorous metal, used in jewellery, dentistry and electronics, has since been catapulted to a series of record high levels. On the other hand, silver prices also rising in the same proportion touched to Rs 1,354 per tola on Saturday from Rs 1,205 per tola at the beginning of the current month witnessing an increase of Rs 150 per tola in just fortnight. An office-bearer of jeweller association was of the view that for the last few months, the local gold prices have been showing upward trend on the back of weakening rupee value coupled with global economic position particularly due to Japan devastating earthquake. He fears that this rupee-dollar parity would further deepen and rupee might further lose its value. In this situation, the precious yellow metal would further hike and might crosses Rs 50,000 mark. He disclosed that international gold experts are of the view that gold would surpass $1,600 mark within current year owing to international happenings. He has firm believe that gold price in Pakistan largely depends on rupee strength against dollar and trend on international bullion markets. Gold price, he further said, is gaining momentum unabatedly these days due to bulk purchase of precious metal by India. He further said government should take measures to strengthen rupee value and try to establish institutions which could produce artificial and silver jewellery. In this way, not only the gem and jewellery sector would flourish but countrys total export volume would also swell. Citing example of neighbouring country India, where government has given attractive privileges and benefits to gem and jewellery industry, is, in turns, getting valuable foreign exchequer, he said adding that government of Pakistan should also follow the foot-steps of neighbour country in this regard. He claimed that currently gold jewellery business is witnessing down fall because people are constrained to purchase artificial jewellery instead of gold for marriages of their kids and for their important rituals. Mediocre people, who earlier used to buy at least five tolas jewellery sets for their daughters, are now find themselves unable to purchase the same as they have to arrange over Rs 0.25 million for this purpose. He said that now customers used to come in jewellery markets to sale their heritage gold assets instead of buying anything. With this trend, jewellers have no option but to shift their businesses towards silver trade, imitation jewellery to try any other option, he added. He was of the view that earlier real gold jewellery buying gain momentum after Islamic month of Muharramul Harram but in current peak business season, only few customers could be seen in the markets because of constantly rising inflation rate and falling purchase power of people. Rana Javed Ali owner of Javed Ali Jewellers at Panorama Centre said that prices of gold are going upward steadily because of Chinas economic worries coupled with Japan earthquake at international level while local investors have had no role to fix the price of this precious metal. He had firm belief that Jews lobby, that is very strong and controlling gold markets globally, has had absolutely authority to set the price of gold at international level. The Jew investors buy yellow metal from international market gradually targeting various regions of the world. For instance, they offload their assets when there is a marriage season start in Asias major countries like India, Pakistan and Bangladesh and earned huge profit out of their stocks. He predicted that gold price would further surge in the coming weeks up to Rs 50,000 per tola. However, if rupee remains firm which have no obvious reasons, the gold price likely to remain stable. A housewife Faseeha Bukhari showed her anxiety over the extraordinary surging prices of yellow metal. She was of the view that with the growing inflation in the country and the unusual burdens of kitchen items and surprise hike in utilities tariff, gold hike is another load for those who were targeting to buy it for wedding of their children. She said she had carved out a plan to purchase gold jewellery for her daughter Sidras wedding who is teaching in a local college in off-season when people avoid arranging marriages but supplementary surge in gold price made it hard to materialise her strategy, said Faseeha Bukhari.