Gold Prices Increase, 21-Karat at EGP 3770

Gold prices have risen in the local markets during mid-trading on Wednesday, while the global market saw a slight dip after gold reached an all-time high of $2,790 per ounce.

This increase comes amid uncertainty surrounding the upcoming U.S. elections in November.

Saeed Embabi, CEO of the “iSagha” platform said that gold prices witnessed an increase by EGP 15 in the local markets during today’s trading, as a gram of 21 karat gold recorded EGP 3770, while an ounce declined to $2778.

He added that a gram of 24 karat gold recorded EGP 4309, a gram of 18 karat gold recorded about EGP 3231, and a pound of gold recorded about EGP 30,160.

According to iSagha’s daily report, local gold prices rose by 25 pounds during Tuesday’s trading. The price of 21-karat gold opened at 3,730 pounds per gram and closed at 3,755 pounds. In the global market, the ounce price increased by $42, opening at $2,742 and closing at $2,784.

Embabi noted that gold has hit record levels due to increased demand for safe-haven assets amid U.S. political uncertainties and declining U.S. Treasury yields. He also mentioned that gold has strengthened as markets anticipate two more interest rate cuts by the Federal Reserve in 2024.

In related developments, the markets are closely watching the release of the initial estimate of U.S. third-quarter GDP growth on Wednesday, the Personal Consumption Expenditures Price Index on Thursday—considered the Fed’s preferred measure of inflation—and the U.S. labor market data for October, set for release on Friday.