Gold prices in the local Egyptian market rose during Monday’s trading session, in line with gains in global gold prices, supported by a weaker U.S. dollar following remarks by U.S. President Donald Trump that reignited concerns over the independence of the Federal Reserve, according to a report issued by the iSagha platform.
Eng. Saeed Embaby, CEO of iSagha, said that local gold prices increased by around EGP 25, with 21-karat gold reaching EGP 6,700 per gram. Meanwhile, spot gold rose by about $35 per ounce on global markets to trade near the $5,000 level.
According to the report, 24-karat gold recorded EGP 7,657 per gram, while 18-karat gold stood at around EGP 5,743 per gram. The gold pound reached approximately EGP 53,600.
The report noted that local gold prices had declined by about EGP 150 during the previous week, with 21-karat gold falling to EGP 6,675 per gram, despite a $70 rise in global gold prices, which reached around $4,965 per ounce.
Globally, gold continued to trade above the $5,000 per ounce level, although it remained below last week’s record highs amid mixed economic signals.
Gold found support from the U.S. dollar’s decline for the second consecutive day, driven by increasingly dovish expectations regarding U.S. monetary policy, as well as growing concerns over the Federal Reserve’s independence. This environment enhanced gold’s appeal as a non-yielding asset.
However, optimism across global equity markets limited further gains in the precious metal, particularly as geopolitical tensions in the Middle East eased, encouraging investor appetite for risk assets and reducing demand for gold as a safe haven.
Investors remain cautious ahead of key U.S. economic data scheduled for release this week, most notably the delayed Non-Farm Payrolls (NFP) report due on Wednesday, along with U.S. consumer inflation data on Friday. These releases are expected to provide clearer signals on the future path of U.S. interest rates, which will directly impact the U.S. dollar and gold prices.
According to CME Group’s FedWatch tool, traders currently see higher odds of multiple U.S. interest rate cuts during 2026, a view reinforced by last week’s U.S. data showing signs of weakness in the labor market and strengthening the case for further monetary easing.
U.S. President Donald Trump stated on Saturday that he may sue his nominee for Federal Reserve Chair, Kevin Warsh, should he refuse to cut interest rates—remarks that intensified market concerns about the central bank’s independence.
Meanwhile, U.S. Treasury Secretary Scott Bessent declined to rule out the possibility of opening a criminal investigation into Warsh if he resists lowering rates, further unsettling markets, although he later said Trump’s comments were made in jest and emphasized Warsh’s qualifications.
Bessent attributed last week’s sharp volatility in the gold market partly to speculative activity in China, noting that tighter margin requirements there had triggered turbulent price movements.
These developments helped the U.S. dollar post its first weekly gain since early January, while the Dow Jones Industrial Average surpassed the 50,000-point mark for the first time, reflecting investor optimism about the U.S. economy and corporate earnings.
On the central bank front, data from the People’s Bank of China showed that China continued to increase its gold reserves for the fifteenth consecutive month in January. Gold holdings rose by 40,000 troy ounces to reach 74.19 million ounces, with total reserves valued at approximately $369.58 billion, highlighting steady official demand amid global financial uncertainty.
In a related development, analysts at Société Générale highlighted the growing influence of Tether in the global gold market, noting that the company’s gold inflows now rival or exceed those of some exchange-traded funds and even certain central banks.
The analysts said Tether held around 125 metric tons of gold as of the fourth quarter of 2025, placing it among the world’s largest holders of gold by volume, despite not being part of the official sector. They added that Tether’s rapid rise underscores its emergence as a significant player in global gold markets.
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