Confusion in the gold markets with the decline of the Egyptian pound and 25% certificates

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The gold markets witnessed a state of confusion, with Banque Misr and Al-Ahly Bank offering certificates with an interest rate of 25%, and the pound’s decline against the dollar, bringing the dollar in official banks to about 26 pounds, and the rise of gold on the global stock exchange, which prompted some merchants to stop buying and selling until conditions stabilize and clarity of vision.

Saeed Imbaby, a member of the Gold and Jewelry Division, said that gold prices rose in the local markets, during today’s trading, Wednesday, with the rise of an ounce on the global stock exchange to the level of $ 1860, amid investors’ anticipation of the data of the minutes of the Federal Monetary Policy Committee meeting for the month of December, to obtain indications about the fate of prices. Interest during 2023.

He added that the market is witnessing confusion and a state of uncertainty, with some traders suspending buying and selling operations, until the market stabilizes, while gold prices in the local markets rose by 15 pounds during today’s trading, compared to the closing of trading yesterday, Tuesday, so that a gram of 21 carat gold recorded a level of 1675 pounds.

He explained that a gram of 24 karat gold recorded 1914 pounds, a gram of 18 karat gold recorded 1436 pounds, a gram of 14 karat gold recorded 1117 pounds, and a pound of gold recorded 13400 pounds.

Embabi pointed out that every movement of the dollar by about one pound affects about 50 pounds in the price of gold, and citizens must diversify their investments between certificates and gold, to preserve the value of their money amid the uncertainty that controls the markets.

Banque Misr and Al-Ahly Bank offered savings certificates for a year, at an interest rate of 25%, to be spent at the end of the period, or at a rate of 22.5% to be spent monthly, in order to meet the increasing inflation rates.

It is possible that banks will withdraw liquidity in the markets and direct investors to bank certificates to benefit from the return, but there are some disparate factors that may affect the markets, including that inflation may devour the expected increase, and therefore banks may not acquire a large share of it, especially since the current inflation is the result of This indicates an increase in the cost, not an increase in the money supply, but the decline and volatility of the local currency may push citizens more to safe havens.