Gold prices in Egypt declined during April 11-18, moving against the global rally as the Egyptian pound strengthened against the US dollar, according to iSagha’s weekly report.
The price of 21-karat gold—the most widely traded locally—fell by about EGP 100, a 1.4% drop from EGP 7,160 to EGP 7,060 per gram. Saeed Embaby, CEO of iSagha, attributed the decline to a 2.5% appreciation of the pound against the dollar, which pressured domestic prices despite rising global benchmarks.
Embaby noted that the Egyptian market responded swiftly to currency shifts, with gold trading in a narrow band between EGP 7,175 and EGP 7,060. He emphasized that exchange rate movements have become the dominant driver of local gold pricing, overshadowing global trends.
Global Rally in Gold
Internationally, gold prices surged, with the ounce climbing from $4,740 to $4,832. The rally was fueled by a weaker US dollar index, easing geopolitical tensions—including prospects of renewed US-Iran talks—and expectations that the Federal Reserve will maintain interest rates at 3.5%-3.75% before possible cuts later this year.
Gold opened the week at $4,676 per ounce, briefly dipped, then steadily rose past $4,700 and $4,800, peaking above $4,890 before closing at $4,829.
Outlook
Embaby expects Egyptian gold prices to remain sideways with a slight downward bias in the short term if the pound continues to strengthen. Medium-term prospects remain positive, supported by global demand and economic uncertainty.
A Kitco News survey reinforced this outlook: 80% of analysts forecast continued gains, while 20% anticipate a correction. Technical indicators suggest short-term overbought conditions, but safe-haven demand is likely to sustain gold’s upward trajectory.
