Gold prices declined in local markets during Saturday's trading.
The decline coincides with the holiday of the global stock exchange, after the ounce was confined to a limited range during the week's trading.
Said Imbabi, Executive Director of the “i-Sagha”, said that gold prices fell in local markets by EGP 5 during the transactions compared to the end of yesterday’s trading, in which the gram of 21-karat gold recorded EGP 3735.
Meanwhile, the ounce of gold remained confined to a narrow range during the week's trading after trading opened at $2622 and closed at $2621.
He added that the 24-karat gold reached EGP 4269, 18-karat registered EGP 3201, 14-karat gold sold at EGP 2490, and the gold pound hit EGP 29880.
On the other hand, gold prices declined in the local markets by EGP 5 during yesterday's trading.
The 21-karat opened trading at EGP 3745 and closed at EGP 3740. Meanwhile, the ounce declined on the global stock market by $13, with transactions beginning at $2634 and concluding at $2621.
Imbabi pointed out that Gold has been supported by the increased likelihood of further interest rate cuts by the US Federal Reserve after the US personal consumption expenditures inflation data, as gold may find an opportunity to rise as markets anticipate signals about the US economy under the incoming Trump administration and the Federal Reserve’s interest rate forecasts for 2025.
He added that gold has gained momentum as the moderate US personal consumption expenditures inflation data defies expectations of limited interest rate cuts by the US Federal Reserve over the next year.
Imbabi noted that the possibility of further cuts, and gold’s appeal is enhanced by the increased geopolitical risks arising from the protracted Russia-Ukraine conflict and ongoing tensions in the Middle East.
Meanwhile, gold is set to close the year with gains of 27%, recording its best annual performance since 2010.
Gold prices rose to an all-time high of $3,800 per ounce on October 31.
Last year, the prices closed at $2,062 and recorded $2,621 at the end of the week’s trading, due to geopolitical risks, acquisitions by central banks, and the US Federal Reserve’s interest rate cut cycle.
Gold recorded an all-time high of 40 times on an annual basis, as total demand for gold exceeded $100 billion for the first time in the third quarter of 2024.
Last week, the Federal Reserve indicated a more cautious outlook for additional interest rate cuts in 2025, indicating a shift in its stance on monetary policy.
This development highlights the uncertainty surrounding future policy adjustments amid the expected economic strategies of the incoming Trump administration.
The number of continuing jobless claims also jumped to a one-year high, according to data last week.
The data shows that while the number of Americans filing for unemployment benefits for the first time remains relatively stable, laid-off workers are struggling to find new work.
Markets are awaiting the release of the U.S. pending home sales report on Monday, the weekly U.S. jobless claims on Thursday, and the Manufacturing Purchasing Managers' Index (PMI) report on Friday.
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