Supervisor Elham AbolFateh
Editor in Chief Mohamed Wadie

Gold Prices Rise in Egypt, 21-Karat Hits EGP 3500 Amid Market Fluctuations

Gold Service

Tue 06 Feb 2024 | 11:45 PM
Waleed Farouk

The domestic gold market experienced a significant surge on Tuesday, with the price of 21-karat gold reaching EGP 3500 per gram, amidst minor gains in the global market and a complex mix of economic and geopolitical factors. This increase reflects the broader trends of stringent monetary policies set by the U.S. Federal Reserve and rising geopolitical tensions in the Middle East, which have contributed to the volatility in gold prices.

Saeed Embabi, the CEO of "iSagha," an online platform for gold and jewelry trading, highlighted the day's price jump of EGP 50 from the previous closing, with the global market ounce price also up by two dollars to $2029. According to Embabi, the prices for different karats also saw adjustments, with 24-karat gold reaching EGP 4000 per gram and 18-karat at EGP 3000 per gram. The price for 14-karat gold settled at approximately EGP 2334 per gram, and a gold pound (8 grams of 21-karat gold) was valued at EGP 28000.

Embabi shed light on the sharp price fluctuations experienced on Monday, noting a wide swing in 21-karat gold prices from an opening of EGP 3560 per gram to a low of EGP 3300, before settling at EGP 3450 by the day's end. The global ounce price also saw a decrease of $13, closing at $2027 from an opening of $2040.

He further mentioned attempts to manipulate the market on Sunday, a non-trading day for the local market, which led to unfounded price listings aimed at unsettling citizens with the fear of a significant price drop. "iSagha" engaged with raw gold traders to verify these price movements, revealing them as speculative actions not reflective of actual market transactions.

Embabi emphasized the impact of such speculative behavior on the market, suggesting it could prompt citizens to sell their gold in anticipation of further declines, thus inadvertently fueling a speculative bubble. He advised the public to maintain a balanced approach to buying and selling gold, particularly during price dips, which could present favorable buying opportunities, especially in the context of the ongoing dollar shortage and rising prices. He cautioned against being swayed by unfounded rumors of sharp price increases or decreases.