Gold prices in local markets witnessed fluctuations during trading on Thursday, with the ounce fluctuating on the global stock exchange due to profit-taking after gold hit a record high and the release of unemployment data.
Gold prices witnessed fluctuations during trading today, as the price of 21-karat gold fell to 4,380 Egyptian pounds and then rose to $4,440, marking an increase of approximately 5 Egyptian pounds compared to the close of trading yesterday. Meanwhile, the ounce rose to $3,157, its highest level in history, before falling to $3,080 and then rising to $3,127, marking a decrease of approximately $7 compared to the close of trading yesterday. The price of a gram of 24-karat gold reached EGP 5,074, while the price of a gram of 18-karat gold reached EGP 3,806. The price of a gram of 14-karat gold reached approximately EGP 2,960, and the gold pound reached approximately EGP 35,520.
According to the daily report of the "iSaaga" platform, gold prices rose in local markets by approximately EGP 5 during trading on Wednesday. The price of a gram of 21-karat gold opened at EGP 4,430 and closed at EGP 4,435. Meanwhile, the price of an ounce rose on the global stock exchange by $20, opening at $3,114 and closing at $3,134.
Mbappe explained that gold prices are under pressure from profit-taking, after the ounce reached an all-time high at the start of trading at $3,157, following US President Donald Trump's announcement of his plan for reciprocal tariffs on the world. The gold market is experiencing selling pressure due to the precious metal's exclusion from the President's tariffs, a profit-taking opportunity. Millions of ounces have flowed into New York vaults since mid-November.
Markets have witnessed increased demand for gold as stocks and bond yields have fallen, and the US dollar has weakened against all major currencies. US President Donald Trump's "reciprocal" tariffs have raised fears of a global economic slowdown and increased demand for safe-haven assets.
Commenting after US President Donald Trump announced the reciprocal tariffs, Treasury Secretary Scott Besant stated that the tariffs could be quickly lifted or removed if countries repatriated their production to the United States.
A drop in weekly jobless claims released recently led to a rise in gold prices after the ounce fell below $3,100. The Labor Department announced Thursday that initial jobless claims fell by 6,000 to a seasonally adjusted 219,000 for the week ending March 29. This figure was lower than expectations, with consensus estimates predicting a flat reading of 225,000.
Analysts also noted that the strong employment data could further contribute to gold volatility, as it forces the Federal Reserve to maintain its current dovish stance. The US central bank has stated that it is in no rush to cut interest rates, as inflation pressures remain elevated and the US labor market remains relatively healthy.
Looking at longer-term trends, the four-week moving average of new jobless claims—often viewed as a more reliable measure of the labor market because it captures weekly volatility—fell to 223,000, down 1,250 from the previous week's revised average of 224,250. While the number of Americans filing for first-time unemployment benefits remains relatively stable, workers are finding it more difficult to return to the labor market. Continuing unemployment claims, which represent the number of people already receiving benefits, rose to 1.903 million during the week ending March 22, an increase of 56,000 from the previous week's revised level of 1.856 million.
The report stated, "This is the highest level of insured unemployment since November 13, 2021, when it reached 1.970 million."
In a related development, markets are awaiting the March nonfarm payrolls report on Friday.
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