Cairo – Mubasher: Gold prices rose in Egypt by 11.3 percent during this week, as gold rose from 1860 pounds in trading last Saturday, to levels of 2070 pounds in trading today, Saturday, bringing the value of the increase to 210 pounds, according to the Gold Billion report, to set a new record. In light of the sharp rises in the prices of the precious metal in the global markets.
This comes amid an unprecedented demand for safe havens in the markets after the deterioration of the banking sector and fears of contagion spreading to other markets..
The technical report stated that the price of gold has risen in Egypt since the beginning of the year until today by 23.6 percent, amid an increasing demand for the precious metal to hedge against a decline in the currency. As for the exchange rate of the dollar against the pound, it is still stable at the level of 30.95 pounds per dollar, to complete about two weeks. at this level.
The current strength of gold prices comes in light of the significant rises in global gold prices, while in the local markets we find that the current anticipation in the markets pushes investors to resort to gold as a safe haven, while the sharp inflation rates recorded during the month of February prompted the increase in gold purchases as a hedge against inflation.
It is worth noting that the expectations of raising interest by the Central Bank of Egypt during its next meeting may not have a significant negative impact on gold prices, because high inflation will continue to support purchases of gold regardless of the movements of the Central Bank of Egypt..
On the other hand, we find that the maturity dates for savings certificates with an interest rate of 18 percent are approaching, which will provide large cash liquidity in the markets, which would prompt part of it to invest in gold even if banks resorted to creating new certificates with a higher return..
Gold witnessed an exceptional performance during the week ending, to return to the fore at all levels and become the first investment in financial markets, after the wave of banking crises that shook the global markets..
It is worth noting that bets on interest rate movements by the Federal Reserve have changed, according to gold bullion Spot gold prices rose by 6.5 percent during the past week, to record the largest weekly rise in 3 years, reaching the highest level in 11 months at $1989.07 an ounce, and knocking on the doors of the psychological level targeted by the markets at $2000 an ounce..
Gold has risen since the beginning of the year so far by 8.8 percent, while gold recorded the last peak above $ 2,000 in March 2022 when it reached $ 2,070.29 an ounce, which matches the high record of approximately $ 2,076.0 an ounce that was recorded in August 2020..
Yesterday, spot gold prices rose by 3.6 percent at once, while the dollar index, which measures the performance of the federal currency against a basket of 6 major currencies, declined by 0.6 percent, to record a decline for the third consecutive week by 0.7 percent..
Tags: Gold prices rose Egypt week ..and increase pounds gram