Over the past week, from 19 to 26 September 2026, gold prices in Egypt experienced a notable decline, primarily due to global pressures resulting from increased US Treasury bond yields and a tightening of monetary policy. According to an analysis by the Egyptian platform, "آي صاغة" (I Sagha), the price of 21-carat gold decreased from 6395 EGP to 6245 EGP per gram, marking a loss of 150 EGP, or approximately 2.35%.
As of the end of the week, the prices for different carats of gold were as follows: 24-carat gold was trading at around 7137 EGP, 18-carat gold at 5353 EGP, and the gold pound at 49960 EGP. Globally, the price of an ounce of gold was recorded at approximately 4286 USD. These changes reflect a broader trend in the global gold market, influenced by various economic indicators and geopolitical events.
According to سعيد إمبابي (Saeed Imbaby), the Executive Director of "آي صاغة" (I Sagha), the decline in gold prices over the week was mainly due to the movement of the global ounce and the rise in US Treasury bond yields. He emphasized that the local market does not face a liquidity crisis or difficulties in executing buy and sell transactions, indicating a stable environment for gold trading in Egypt.
The global gold market also experienced fluctuations, with the ounce losing about 70 USD from its peak during the period. It dropped from 4344.09 USD on 21 September to 4273.97 USD on 24 September, before closing at around 4285 USD on Friday. The increase in US bond yields put pressure on gold, as it is considered an asset that does not generate returns, coinciding with hawkish signals from Federal Reserve officials regarding inflation and interest rates.
On the local level, the price gap between the actual gold price and the fair price calculated based on the ounce and exchange rate shifted from negative to positive before approaching equilibrium levels. The gap was recorded at -26.12 EGP on 21 September, then -37.18 EGP on 22 September, before turning to +16.71 EGP on 23 September and nearing zero at 1.84 EGP and 1.92 EGP over the following two days.
Data from "آي صاغة" (I Sagha) showed a decrease in the number of gold price updates, from 17 updates on 22 September to 13, then 12, 8, and finally only one update on 26 September. This reflects a decrease in the intensity of price movements towards the end of the week. In the short term, markets are awaiting developments in US monetary policy, inflation data, and the progress of negotiations between Washington and Tehran, which could influence demand for safe-haven assets and oil prices.
Looking ahead, global institutions have varying predictions for gold prices, with some estimates suggesting a rise to 5000 USD per ounce by 2027. These projections are supported by continued demand from central banks and structural factors supporting the metal. As such, despite the recent decline, the outlook for gold remains a topic of interest and speculation among analysts and investors.
Key points
- Gold prices in Egypt have dropped by 150 EGP per gram over the past week.
- The decline is attributed to global economic factors, including increased US Treasury bond yields.
- Predictions for gold prices vary, with some estimates suggesting a rise to 5000 USD per ounce by 2027.
