The price of a gram of 24-carat gold has made gains of 55.75 dirhams since the beginning of this year until yesterday, and with increases of 30%, according to gold price data during the beginning of last January and the gold prices currently announced in the state markets.
Officials of gold and jewelry trading companies told «Emirates Today» that the effects of the Corona pandemic and its developments, in addition to the changes in global economies, reached gold prices during the current year to record levels and historically unprecedented, which was supported by the significant increases that the price of a gram of gold gained, and it is expected To increase at higher rates before the end of this year, noting that these increases reflect positively on the investors in the alloys sector.
Significant increases
In detail, the Chairman of the Board of Directors of the Gold and Jewelery Group in Dubai, Director of the "Johara" group, Tawhid Abdullah, said that "the increases that the price of gold has gained since the beginning of this year were very large, with gold prices finally reaching record levels and historically unprecedented, affected by pandemic repercussions. (Corona) and its developments in global markets ».
He added that «the big rises have supported the dealers in the local markets with a culture of saving and investing in gold, which is a safe haven, especially during periods of crises and turmoil», pointing out that “the high awareness of the savings systems in gold contributed to an increase in the market transition for the purchase of dealers for bullion and currency products.”
Abdullah said, “Gold hikes are expected to continue at a greater pace until the end of this year, according to international market reports and indicators, but according to estimates, a temporary price correction is expected during the third quarter of this year, and gold price limits are expected to reach 1700 Dollars per ounce, with the sale of a number of international investment funds to a number of bullion that they bought during previous periods and take advantage of the rises to record new gains for them, while prices are expected to rise to new record limits of up to 2200 dollars per ounce before the end of this year ».
Gram price
In turn, the director of the "Dahkan Jewelery" company, Vishal Dahkan, said that "the significant increases that the price of a gram of gold has gained since the beginning of this year until now have reflected positively on dealers in buying gold bars, who took advantage of those gains to sell some or all of their holdings of Alloys, whether weights 100 grams or 50 grams, ”pointing out that“ the large increases in gold prices have also stimulated a number of dealers to sell used artefacts from old models, and wait for periods of low prices to return and buy modern models. ”
He added that «gold prices are expected to rise in greater proportions during the coming period, which drives a number of dealers to deal with caution when selling the products in their possession, whether from bullion or currency.
Record rates
For his part, the director of the "Rikesh Jewelery" company, Rikesh Dhanak, said that "the price of a gram of gold has achieved significant increases since the beginning of this year until the present time, supported by recording prices recently for record rates, which in turn reflected in the increased benefit of dealers in alloys in particular from those The increases are being more focused on investment operations compared to the currencies that are devoted to gifts and savings. ”
He pointed out that «the large increases contributed to changing patterns of activity in the markets in terms of shifting with greater proportions of sale to stores, both for alloys and handicrafts, compared to the ratios of activity in the purchases of new products».
The value of the gains
The price of a gram of 24-carat gold yesterday was 239.75 dirhams, an increase of 55.75 dirhams, an increase of 30% compared to its price indicators at the beginning of last January, while the price of a 22-carat gold gram recorded 225.25 dirhams, an increase of 52.5 dirhams and a 30% increase Compared to the beginning of last January. The gram price of 21 carats reached 215 dirhams, an increase of 50 dirhams, an increase of 30%, while the price of a gram of 18 carat gold reached 184.25 dirhams, an increase of 43 dirhams, and a rise of 30%.