Price of gold in Egypt fell sharply, suddenly and unexpectedly this week due to speculation in global stock markets, said Wasfy Amin, the head of the gold division at the Federation of Egyptian Chambers of Commerce. Wasfy pointed out that the local market is still facing almost complete recession.
"The sales ratio has still not returned to pre-revolution levels, where it records the size of the demand is about 15 percent up and down," he added.
Gold prices fell during trading on Sunday in the Egyptian market, where record price of one gram of 21 Karat was about LE237.01, while the record price of one gram of 18 Karat registered at about LE203.15, and a gram of 24 Karat gold was LE270.60.
The most important factors affecting the price of gold are the economic situation in the world, the instability of oil prices, the dollar and the euro, said Nady Naguib of the gold traders division at the Cairo Chamber of Commerce.
In the global market, the US dollar’s fall lifted the battered gold price from four-and-a-half-year lows. Gold traded at US$1,172.50 per ounce according to Reuters.
A large number of analysts and traders are predicting in a Reuters poll that gold prices could fall to $1,000 an ounce by the end of the year and for the first time since 2009.
