Goldsmith's markets were on a new date with successive increases in gold prices. When trading gold here in Egypt on Tuesday 4th October, the price of gold was 500 pounds per gram for 21 gauge, which is the main gauge in the goldsmith market.
The market atmosphere at that time was favorable for the rise of the precious metal, as the exchange rate of the dollar was turbulent at that time, about five weeks before the exchange rate was liberalized, and at that time, gold was recording 500 pounds per gram. Is it possible under the current circumstances for gold to decline For this number? And a gram of gold loses 460 pounds per gram, compared to the current price of 860 pounds.
The current climate, globally and locally, is conducive to the rise of gold, but there is a question, can this climate change and return gold prices to decline? 500 or 600 pounds per gram, and in what cases do we say gold has retreated towards those numbers?
A fictitious hypothetical scenario, which is that the price of an ounce of gold decreases by $ 1100 or $ 1200, meaning that it decreases by about $ 750 from its current price of $ 1950, in addition to the continued decline in the price of the dollar in Egypt, as the US currency fell below 16 EGP, and if this decline continues to less than 15 pounds, gold can be found at a price of 500 or 600 pounds, depending on other factors related to the market situation.
Advice from the Gold Division for citizens regarding buying and selling
This scenario, could it happen on Earth now? Of course everything is possible in money and business, but the general scene is the demand for safe havens, especially gold, in addition to the possibility of the dollar dropping below 15 pounds per hour. The current one faces some challenges in light of the Corona epidemic.
Experts and observers of the precious metals market prefer to continue the upward scenario until the end of the Corona crisis, as Nagy Farag, an advisor to the Minister of Supply for the Gold Industry and a member of the goldsmiths department, says that this imaginary scenario is difficult in light of the current circumstances, as the global climate supports the demand for gold in light of the decline in investments as well as the collapse . Trade of interest and harm to world trade.
He added in statements for the seventh day, that when the gold market opens next Monday, we may find that the price has returned to $ 2000 levels again, because as I mentioned, the global climate supports the trend of demand for safe havens.
There are 3 rules that control the price of gold, which are respectively the price of an ounce of gold in the world, and in the event of a decline, the prices will decrease here in Egypt, the price is the exchange rate of the dollar, and if the price of the dollar collapses, then gold prices have decreased and finally the supply and demand factors, but they do not have a significant impact.