During the past week, global gold prices increased 2.3%, equating to a $54 rise. This upturn was fueled by mounting anticipation that the US Federal Reserve could halt its monetary tightening cycle, prompted by recent US inflation data indicating a potential early interest rate reduction.
Saeed Embabi, the CEO of “iSagha,” an online platform for trading gold and jewelry, mentioned that local gold prices remained unchanged today compared to the previous day’s closing.
The cost of 21-karat gold was documented at 3170 EGP per gram, aligning with the global market’s weekend cessation. The price of an ounce of gold concluded at $2414, nearing its peak of $2431 noted on April 12.
Embabi also stated that the price of 24-karat gold stood at 3623 EGP per gram, 18-karat gold at 2717 EGP per gram, and 14-karat gold at 2114 EGP per gram. The value of a gold pound was roughly 25360 EGP.
On Friday, gold prices increased by 45 EGP. The price of 21-karat gold commenced at 3125 EGP per gram, reached a high of 3175 EGP, and closed at 3170 EGP. Meanwhile, the price of an ounce of gold ascended by $16, opening at $2381, reaching a peak of $2420, and closing at $2414.
Embabi clarified that global gold prices exceeded the $2400 threshold due to various factors, including a deceleration in US inflation rates in April.
These statistics have heightened speculations of a more lenient monetary policy from the Federal Reserve and a potential upcoming interest rate reduction. China’s efforts to stabilize its real estate sector through stimulus measures contributed significantly to gold demand.
Moreover, the increasing interest of central banks in gold as a hedge amid a partial shift away from the dollar further bolstered the metal’s attractiveness. Gold has displayed exceptional resilience, defying traditional correlations by rising even when the dollar and Treasury yields also surged.
