Officials at the outlets of jewelery and goldsmiths said that the approach of the festival of lights «Diwali» and the decline in gold prices to a limited extent, contributed to improving demand for the purchase of gold jewelry in the market recently.
They expected the UAE Today to increase its demand in greater proportions as the festival celebrates the middle of next week, which will continue until the beginning of November.
The price of gold at the end of last week, declines in limited rates for the second week in a row, achieving a decline of 50 fils per gram of different caliber, compared to the end of the previous week, according to the prices announced in the Dubai and Sharjah markets.
Diwali Festival
The approach to the festival of lights, or Diwali, which is celebrated by residents of Asian nationalities, has helped to improve the demand for new items, especially with some dealers going to buy gifts early , Which activates sales.
Falling prices
Dilip Sonny, director of sales at Diamond Jewelery, said the continued decline in gold prices for the second week in a row has many positive effects in boosting sales, especially with Asian nationals buying Diwali gifts. Early.
He pointed out that the period of celebration of the festival, which starts from 22 October this year, until the second of November next will have good effects on the gold markets.
Catalyst
Greesh Ranchandra, sales officer at La Burlett Jewelers, said that the decline in gold prices for the second week in a row, albeit in limited proportions, stimulates the purchase of gold jewelery gifts, pointing out that the outlets witnessed an improvement in demand, which is expected to continue by Growing over the coming period.
He pointed out that the demand is concentrated in the 18 and 21 carats, and goldsmiths that are free of precious stones, and are buying gold coins from dealers from Asian nationalities.
Jay Dehkan, director of the Dehkan Jewelery store, said markets have seen signs of improvement recently, influenced by Diwali's approach, and supported by continued price declines.
He said that the positive effects will appear more from next week, especially with the start of celebrations, and expected to increase sales of tourists during that period.
Gold prices locally
Gold prices recorded declines of 50 fils per gram at the end of last week.
The price of a gram of 24-carat gold was 180.5 dirhams, a decrease of 50 fils, compared to its prices at the end of the previous week, while the price of a gram of 22-carat gold recorded 169.5 dirhams, a decline of 50 fils.
The price of a gram of 21-carat reached 161.75 dirhams, a drop of 50 fils, and the price of a gram of 18-carat gold to 138.5 dirhams, a decline of 50 fils.