Gold prices in Egypt surged by EGP 120 over the past week, marking a 3.2% increase in local markets. The global gold market also recorded a 0.6% rise, fueled by fluctuating inflation data and shifts in the U.S. dollar's strength.
According to iSagha, a platform specializing in gold and jewelry trading, this upward trend reflects the combined effects of international market dynamics and local currency movements.
The week began with the price of 21-karat gold, the most popular grade in Egypt, at EGP 3,700 per gram. It peaked mid-week at EGP 3,860 before closing at EGP 3,820 on Saturday. This steady climb highlights the sensitivity of the local gold market to global and domestic economic factors.
Globally, gold prices saw smaller yet significant fluctuations. Starting the week at $2,633 per ounce, gold prices climbed to a peak of $2,726 before settling at $2,648. These movements reflected market reactions to U.S. inflation data and a strengthening dollar, which tempered gold's gains by the week's close.
Other gold grades also experienced sharp increases. The price of 24-karat gold hit EGP 4,366 per gram, while 18-karat gold climbed to EGP 3,274. Meanwhile, the price of 14-karat gold reached EGP 2,547 per gram. Gold coins, a key investment asset, were priced at EGP 30,560.
Saturday alone saw a rise of EGP 15 in 21-karat gold, with prices starting at EGP 3,805 and ending the day at EGP 3,820. This occurred during the global market’s weekend closure, underscoring local demand and currency pressures as critical factors in the price surge.
Saeed Embabi, CEO of iSagha, attributed the rise in domestic gold prices to global trends and a stronger U.S. dollar impacting exchange rates in Egypt.
He noted that gold prices initially surged by $100 early in the week as markets anticipated inflation data from the United States. However, the release of these figures, coupled with the dollar’s resilience, led to some retreat in prices toward the end of the week.
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