Encouraged dealers to buy, in fear of rising prices

Traders: Gold prices support a limited improvement in crafts and bullion sales

• The price of a gram of 24 carat gold was 210.25 dirhams.

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Officials of gold and jewelry outlets reported that the markets have recently witnessed an improvement in the sales of crafts and bullion, with gold prices continuing to remain at low levels recently, compared to their prices during the previous weeks.

They indicated to Emirates Today that the recent rises of the yellow metal, which came in limited rates, motivated a number of dealers to buy their needs for fear of rising prices, pointing out that the purchases were concentrated in 21 and 22 carats.

In turn, dealers confirmed that they preferred to buy handicrafts now for wedding-related occasions, and to take advantage of the continuing prices at incentive rates for purchase.

At the end of last week, gold prices recorded limited increases, which ranged between two dirhams and 2.5 dirhams per gram of various karat compared to the end of the previous week, according to price indicators announced in Dubai and Sharjah.

Buy gifts

In detail, the trader, Ahmed Hussein, said that he “bought gifts from the crafts, because he was preparing for the occasion of marriage during the coming period, and that the current prices are suitable for purchase.”

The trader, Yasser Muhammad Rahim, added, "He preferred to buy a gift from the artifacts, fearing that gold prices would record new highs in greater proportions during the coming period."

The client, Samah Ibrahim, explained that she "bought a piece of artifacts after the rise in gold prices at limited rates."

Significant pointers

In turn, Bader Abdul Majeed, a sales official at the Al-Iman Jewelry store, said that “the markets have witnessed signs of improvement in the sales of handicrafts and gold bullion, with prices continuing at low levels despite a limited increase, but the current prices are among the lowest levels since More than two months », pointing out that« most of the purchases of artifacts concentrated in the caliber of 21 carats ».

Recent highs

For his part, the sales official at "La Rose Jewelery", Abdulaziz Sheikh, said that "gold is still at the limits of an incentive to buy, which is why a large number of dealers are heading to buy now in relation to the artifacts or gold bullion", pointing out that "the move Prices are rising at limited rates, which increased dealers ’turnout, fearing that prices would be heading to record higher increases.

Faris Rajoub, the sales official at the "Yasmine Al-Sham Jewelry" store, said that "the current prices of gold have stimulated a number of dealers, especially those who are preparing for wedding-related events during the coming period, to buy their needs for gifts, fearing that the prices will return to higher rates, especially since The current prices are the lowest in their indices for a long time. ”

He explained that "sales stores witnessed a boom in buying bullion and currencies for purposes of saving or investment, at rates that exceeded the previous week."

Gold is heading the world for the best performance in 7 weeks

Gold prices fell yesterday, as high US revenues and the strength of the dollar imposed pressure on the yellow metal, but it headed to record its best weekly performance in seven weeks.

In spot transactions, gold fell 0.3% to $ 1716.86 an ounce, and the metal prices fell to the lowest level in nine months on Monday, but the decline in Treasury yields sparked the recovery of gold's position on the path of achieving a weekly gain of 1%.

Stephen Ince, chief market strategist at Axi Financial Services, said: “It is mainly the work of high returns, and although the returns have not continued to rise, the problem is that they have not decreased, and this is a problem.”

He added, "Gold will stabilize at about $ 1700 unless we reach a new level due to high returns."

And record US Treasury bond yields rose, raising the opportunity cost of owning gold, while the dollar recovered from its lowest level in nearly a week.

Investors are awaiting the meeting of the Federal Reserve (US Central Bank) this week, to determine the direction of its monetary policy.

US President Joe Biden signed, the day before yesterday, a stimulus bill worth 1.9 trillion dollars to enter into force, and said that he would accelerate immunization operations against "Covid-19" and push the country closer to its normal state by the fourth of July.

As for the other precious metals, silver fell 0.6% to $ 25.91 an ounce, but it is heading for the best week since late January, up 2.9%.

Palladium fell 0.2% to $ 2,339.48.

Platinum rose 0.4% to $ 1,200.31, and headed for its best weekly performance in four weeks, with a gain of 6.3%.

London - Reuters

gold prices

The price of a gram of 24-carat gold reached 210.25 dirhams, an increase of 2.5 dirhams, compared to its prices at the end of the previous week, while the price of a 22-carat gram recorded 197.5 dirhams, up 2.25 dirhams, and the 21-carat gram price reached 188.5 dirhams, up 2.25 dirhams The price of a gram of 18 carats reached 161.5 dirhams, an increase of two dirhams.

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