The markets are witnessing a demand for 18 and 21 carats... and small and medium weights

Price decreases increase sales of gold bullion and jewelry

Officials of gold and jewelry outlets told Emirates Al-Youm that the decline in gold prices has recently had a positive impact on the markets, through the demand for gold bullion and jewelry.

Gold prices decreased at the end of last week, with values ​​ranging between 3.25 and 3.75 dirhams for various karats, compared to their prices at the end of the previous week, according to price indicators in the Dubai and Sharjah markets.

The price of a gram of 24-carat gold reached 245.25 dirhams, a decrease of 3.75 dirhams, while the price of a gram of 22-carat gold reached 227 dirhams, a decrease of 3.25 dirhams.

In turn, the price of a 21-carat gram reached 219.75 dirhams, a decrease of 3.25 dirhams, and the price of an 18-carat gram reached 188.25 dirhams, a decrease of 3.25 dirhams.

“Mashu Jewelry” store manager, Raj Bahi, said: “The decline in gold prices has stimulated a number of dealers to buy gold jewelry, with a growth in demand for gold bullion, especially of small and medium weights.” He expected the pace of positive growth in demand to increase at greater rates in the coming days.

For his part, the manager of the “Riki Jewelry” store, Rikesh Dhanak, said: “The increase in sales of gold bullion and jewelry following the price declines recorded by the yellow metal is due to a state of hedging among a number of dealers against the continued recording of gold price increases at significant rates during the coming period. “With price indicators that have been essentially high for more than six months.”

He explained that “most of the demand for gold jewelry was concentrated in 18 and 21 carats, while the demand was for bullion, and small and medium weights of less than 50 grams.”

In the same context, the sales official at the “Daimon Jewelry” store, Daily Sun, said, “The markets recorded a growth in demand for gold jewelry, by residents or tourists, supported by the recent price declines.”

He expected the markets to witness a greater improvement in dealers’ willingness to buy in the coming days, as a hedge against a further rise in prices.