The price of a gram rose by 5.5 dirhams in two weeks

Dealers: Activity in demand for small and medium gold bullion

The price of a gram of 24 karat gold amounted to 224.5 dirhams.

Photography: Ashok Verma

 Officials of gold and jewelry trade outlets stated that the markets have recently witnessed an activity in demand for gold bullion in varying proportions, in light of the spread of expectations that prices will rise by large rates during the coming period.

And they pointed out, to «Emirates Today», that the demand is concentrated in alloys of small and medium weights, which indicates the cautious demand for purchase at the present time, noting that sales of goldsmiths have witnessed a slowdown in demand during the recent period, with prices not recording significant rates of increase or decrease.

Gold prices rose at the end of last week between one dirham and 1.5 dirhams per gram of various calibers compared to their prices at the end of the previous week, according to the price indices announced in Dubai and Sharjah, while the increases came for the second week in a row, bringing the total gold gram increases in two weeks to 5.5 dirhams.

In turn, the director of the "Rikesh Jewelery" company, Rickish Dhann, said, "The markets are currently witnessing slow rates in demand for sales of gold jewelry, after it witnessed popularity during the previous week, with prices not recording any stimulating decline rates or even large increases, which make dealers fearful." From postponing the purchase, and consequently, the turnover of prices at similar rates was recently reflected negatively on the demand in the markets.”

He added, "There is a demand for small and medium bullion, which is expected to rise in the coming weeks, in light of the tendency of some dealers to take advantage of the expectations of price increases during the coming period, in the prior purchase of bullion."

For his part, the director of sales at the “Regi Jewelery” store, Mangesh Balikra, explained that “the demand in the markets has recently focused on the alloy sector, especially those with small and medium weights, which range between 20 and 50 grams, with the expectation of price increases during the coming periods, in large proportions. Which allows savings in these products for some dealers, especially from Asian nationalities.”

He pointed out that “purchasing bullion of small and medium weights is one of the indicators that illustrate the movement of cautious demand for it, which is commensurate with the current price indicators, unlike the times of significant decline that motivate the purchase of bullion, which usually witness purchases of bullion of large weights, especially for dealers interested in investing in those products.”

In turn, the sales manager at Hayat Jewelery, Dilip Dehkan, considered that “the current limited demand for sales of gold jewelry comes after the activity movement that the markets witnessed during the previous week, and therefore the lull in demand is currently one of the natural indicators in the markets, until factors appear. New incentive to buy.

He added that "the demand for gold bullion is expected to increase in the coming days at greater rates, especially if gold prices record new rates of decline."

In addition, the price of a gram of 24-carat gold amounted to 224.5 dirhams, an increase of 1.5 dirhams, compared to its prices in the previous week. 18 carats: 172.5 dirhams, with an increase of one dirham.

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