The gold market is counting on the Eid al-Adha holiday to increase sales

Gold prices continued their declines for the second week in a row, recording at the end of last week a decline with values ​​ranging between 2.25 dirhams and 3.75 dirhams per gram of various karats, compared to prices at the end of the previous week, according to the price indicators announced in the Dubai and Sharjah markets, bringing the total declines recorded by a gram of gold in two weeks to 25.5 dirhams.

Officials of gold and jewelry trade outlets told Emirates Al-Youm that the continued declines in the price of gold had positive effects on the markets through improved demand in varying proportions for gold jewelry and bullion, expecting demand to grow at greater rates in the coming days.

They explained that it is natural for bullion to account for the largest share of demand in light of the significant price declines, stressing that gold stores are counting on the coming days and the Eid al-Adha holiday to stimulate gold jewelry sales at a greater pace.

Dilip Patni, sales manager at the “Artist Jewelry” store, told Emirates Today: “The markets witnessed an improvement in varying proportions in the demand for gold jewelry, supported by the significant price declines recorded by gold prices during the recent period.”

He added: “But sales growth is still limited, and sales are expected to rise at greater rates in the coming days, and during the Eid al-Adha holiday, which will provide opportunities for customers to shop from gold stores.”

For his part, the sales official at the “Umbral Gold and Jewelery Trading” store, Ashwin Shawn, said: “The continued price declines of the yellow metal contributed to the improvement in demand for gold jewelry during recent days in the markets, and also supported the demand for gold bullion and coins.”

He explained: “Many sales outlets are counting on the coming days during the Eid al-Adha holiday to stimulate gold jewelry sales at a greater pace, especially in light of the long holiday period, which will allow customers to visit the markets more than once.”

As for the sales manager at the “Daymo Gold and Jewelry Trading” store, Daily Sun, he saw that “periods of significant price declines are strong incentives to support attracting customers to buy gifts of gold jewelry, especially after the periods of large price increases recorded by the yellow metal in previous periods.”

He told Emirates Today: “It is natural for bullion to account for the largest shares of demand in light of the significant price declines, and in light of the interest of many dealers in these products for the purposes of saving or investment following the record indicators recorded by the yellow metal during previous periods.”

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Gold prices

The price of a gram of 24-carat gold reached 543.25 dirhams, a decrease of 3.75 dirhams, while the price of a gram of 22-carat gold reached 503 dirhams, a decrease of 3.5 dirhams.

In turn, the price of a gram of 21-carat gold reached 482.25 dirhams, a decrease of 3.5 dirhams, and the price of a gram of 18-carat gold reached 413.5 dirhams, a decrease of 2.75 dirhams. While the price of a gram of 14-carat gold recorded 322.5 dirhams, a decrease of 2.25 dirhams.