The State Bank of Pakistan (SBP) on Friday made sizeable liquidity injections through both conventional and Shariah-compliant open market operations (OMOs), providing more than Rs10.48 trillion in short-term funds to indirectly meet the government's needs.

According to the central bank's Domestic Markets and Monetary Management Department, the SBP accepted a total of Rs10.27 trillion in its conventional reverse repo (injection) operation. The central bank saw significant participation from market players across two tenors, which reflected persistent demand for short-term liquidity in the banking system.

In the seven-day tenor, banks offered bids of Rs10.13 trillion, all of which were accepted by the SBP at a rate of return of 11.01% per annum, with 19 quotes secured. For the 14-day tenor, Rs140.65 billion was offered and fully accepted at 11.02%, based on four quotes. The combined realised value for both tenors came in at Rs9.87 trillion.

The SBP also conducted a Shariah-compliant Mudarabah-based OMO injection, aimed at supporting Islamic banking institutions facing tight liquidity positions. The total amount accepted under the Islamic OMO reached Rs214.7 billion against bids of Rs290.7 billion.

In the seven-day tenor, the central bank accepted Rs189.7 billion at an annual return of 11.05%, while one quote worth Rs25 billion was accepted in the 14-day tenor at 11.06%. The aggregate realised value for the Islamic OMO stood at Rs215 billion.

Furthermore, the Pakistani rupee recorded a slight uptick, appreciating 0.01% to close at 280.32 against the US dollar, a gain of Rs0.04 in the inter-bank market. This follows Thursday's close at 280.36, reflecting continued stability in the local currency.

Meanwhile, gold prices in Pakistan surged, even as the international market retreated from a seven-week peak, driven largely by currency pressures and persistent local demand. According to the All-Pakistan Gems and Jewellers Sarafa Association, the price of gold per tola climbed Rs10,700 to reach Rs454,262, while 10-gram gold rose Rs9,174 to Rs389,456. This follows Thursday's modest increase, when the per-tola price settled at Rs443,562.

Silver prices in the domestic market also gained traction, rising from Rs232 to Rs6,684 per tola. The trend contrasted sharply with global markets, where silver dropped more than 3% after a record-breaking rally, falling to $61.7 per ounce from an all-time high of $64.64 earlier in the session.

In the international bullion market, gold eased 0.1% to $4,280.69 per ounce, while US gold futures remained largely unchanged at $4,312.90. The slight pullback was attributed to profit-taking and investor caution ahead of significant US economic data releases scheduled for next week.

Adnan Agar, Director at Interactive Commodities, said global gold prices experienced intra-day volatility. "The high was $4,353 and the market was later around $4,295 after opening at $4,270. The market went up and then dipped slightly," he noted.

Agar expects next week's US employment and inflation data to be decisive for gold's direction. "If the data supports gold, it could break above its all-time high of around $4,388," he said, adding that silver's record highs may signal further upside potential for gold.