الرئيسية / بنوك وبورصة / Historic rise in gold prices due to geopolitical tensions

Historic rise in gold prices due to geopolitical tensions

فريق رجال الأعمال بنوك وبورصة 20 March 2025 02:39 AM
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Historic rise in gold prices due to geopolitical tensions

Gold prices in Egypt witnessed an unprecedented rise on Wednesday, March 19, 2025, surpassing 4,270 EGP for 21-karat gold, the most widely traded gold in the Egyptian market. This coincided with global gold hitting new record levels near $3,050 per ounce.

Gold prices Tuesday in Egypt:

24-karat:  EGP 4,886/gram

21-karat: EGP 4,275/gram

18-karat: EGP 3,664/gram

Gold Pound: 34,200 Egyptian pounds

 

Global gold price jumps:

Ehab Wassef, head of the Gold and Precious Metals Division at the Federation of Egyptian Industries, revealed that the price of an ounce rose by more than 1% during Wednesday's trading, reaching 3,024$ in spot transactions. This was reflected in prices in the Egyptian market, with 21-karat gold exceeding 4,250 EGP for the first time in its history.

Wassef added that gold futures are close to breaking 3,040$ for the first time, driven by several factors, most notably:

Escalating geopolitical tensions in the Middle East, particularly in the Gaza Strip.

Challenges to global trade amid growing unrest.

Increasing demand for gold as a safe haven amid global economic uncertainty.

 

Gold surpasses 3,000$ due to trade and political tensions.

Wassef pointed out that developments in the trade war and escalating tensions between the United States and the European Union significantly contributed to gold's rise to record levels. US President Donald Trump's escalation against the European Union increased concerns about global markets, prompting investors to turn to gold.

He also explained that gold has risen 15% since the beginning of 2025 due to US economic policies that increased instability, leading to significant losses in global stock markets, which boosted demand for gold as a safe haven.

 

Will gold prices continue to rise?

With ongoing geopolitical and economic tensions and increasing demand for gold as a hedge against crises, prices are expected to remain on an upward trend in the coming period. Investors are closely monitoring the US Federal Reserve's interest rate decisions, which could have a direct impact on the yellow metal's movements globally and locally.