Jack Raft, a gold market expert, said that local markets are witnessing rapid changes in gold prices due to the sharp volatility dominating global exchanges. This has, at times, resulted in noticeable price discrepancies within the domestic market and a widening gap between local and global prices.
Raft noted that the local market has suffered significant losses in recent days as a result of violent price movements on global gold exchanges, explaining that sharp downturns have disrupted pricing mechanisms and affected the balance of supply and demand.
Despite these disturbances, Raft stressed that gold continues to reaffirm its status as a safe haven. He pointed out that the precious metal has previously experienced similar correction waves before regaining balance and resuming its upward trajectory, reinforcing its credibility as a long-term investment vehicle.
He emphasized that investing in gold requires patience, adding that the metal has never disappointed investors over the years and has delivered strong returns to those who approached it as a genuine investment rather than a short-term speculative trade.
Raft expects markets to see a degree of stability in the coming period, supported by a relative calming of global exchanges. He advised investors who purchased gold at higher price levels to hold onto their holdings, amid growing expectations that prices will rise again.
He also noted that the market had never anticipated local gold prices exceeding 5,000 Egyptian pounds per gram, yet prices went on to record historic highs approaching 7,500 pounds, reflecting the strength of the long-term upward trend.
Price Movements on Monday
During Monday’s trading session, global gold prices experienced volatility following the sharp sell-off that hit markets late last week. Gold traded within a fluctuating range as it attempted to recover part of its losses, while investors closely monitored developments in U.S. monetary policy and key macroeconomic data.
Locally, these movements were reflected in cautious pricing, with slight declines in some karats offset by attempts at stabilization later in the session, amid weak liquidity and inconsistent dealer pricing.
Global Bank Recommendations
In the same context, UBS reiterated its positive outlook on gold over the medium and long term, viewing the current pullback as an opportunity to build investment positions, given ongoing inflationary pressures and persistent geopolitical risks.
Meanwhile, JPMorgan maintained its bullish forecast, noting that strong demand from central banks and institutional investors could push gold prices to new record levels in the coming period, with expectations that gold could reach higher levels by the end of 2026.
Both banks affirmed that gold remains one of the most effective hedging instruments against market volatility, rising global debt, and declining confidence in fiat currencies, reinforcing its appeal as a core investment asset.
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