Gold Prices Plunge Over EGP 120 in Egypt Following Ceasefire Between Israel and Iran; 21-Carat Hits EGP 4,710
Gold prices in Egypt witnessed a sharp decline of over EGP 120 per gram on Tuesday, as news of a ceasefire agreement between Israel and Iran eased geopolitical tensions and reduced demand for the precious metal as a safe haven.
On the global stage, spot gold prices dropped to around $3,325–$3,330 per ounce, down from nearly $3,400 amid the recent military escalation. International stock markets also recorded losses of more than 1%, while oil prices saw a notable drop.
In the local market, current gold prices are as follows:
24-karat: EGP 5,382 per gram
21-karat (most traded): EGP 4,710 per gram
18-karat: EGP 4,038 per gram
Gold sovereign (one piece): EGP 37,640
The dramatic drop in gold prices is attributed to a decline in safe-haven demand following the political de-escalation and a strengthening outlook for global stability. Analysts also pointed to expectations of an interest rate cut by the US Federal Reserve, which has weakened the US dollar and further pressured global gold prices.
Market experts believe that if geopolitical calm continues and monetary easing begins in the US, gold could face additional downward pressure in the coming weeks.