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Editor in Chief Mohamed Wadie

Gold Princes Slightly Decline Domestically, 21K Hit EGP 3100

Gold Service

Wed 27 Mar 2024 | 04:03 PM
Waleed Farouk

Gold prices slightly declined in domestic markets today, Wednesday, despite the rise in the prices of the yellow metal ounce in the international market. The latest performance of gold was driven by the latest decline in the USD, and the anticipation of the US inflation data release next Friday.

It seems that the US Fed decision makers are confident in easing pressures, expecting three further cuts in the interest rates this year.

Saied Embabi, the Executive Director of Isagha platform, said that gold prices declined by EGP 15 in domestic markets, while the ounce prizes jumped by $12 to record $2190.

Embabi added that the gram of 21-karat hit EGP 3100. In addition, the gram of 24-karat recorded EGP 3543, 18-karat estimated at EGP 2657, 14-karat reached EGP 2066, and the gold pound recorded EGP 24800.

In the same context, the US Consumer Confidence Index data for March showed negative indicators, as it recorded 104.7 points, compared to expectations of recording 106.9 points. Previously, the indicator hit at 106.7 points, but was downward to 104.8 points.

US Federal Reserve policymakers seem to be more confident about easing pressures, expect three further interest rate cuts this year, after the signs of the US inflation moving in the right direction.

Moreover, investors are looking for more signals on inflation to expect the period of the interest rates cuts as the markets will focus on the core Personal Consumption Expenditures for February, which will be released next Friday.

The signs of easing pressures may enhance gold's revenues because it will restrict the US Fed hopes of keeping interest rates high for an extended period.

However, the rise in the US inflation rates could negatively impact gold prices because it will increase the cost of gold investments, and investors could be motivated turning to assets with interest like bonds.

Contributed by: Rana Atef