Gold prices in Egypt's local market rose by EGP 175, pushing the 21-karat gram to EGP 7,100, tracking global ounce gains amid US-Iran geopolitical tensions. Saeed Imbabi, executive director of iSagha, attributed the increase mainly to the global ounce rise and the strong US dollar.
Gold prices in Egypt's local market saw a notable rise of around EGP 175, with the 21-karat gram reaching EGP 7,100. At retail, the 24-karat gram stood at about EGP 8,114, the 18-karat at EGP 6,086, and the gold pound near EGP 56,800. The global ounce climbed approximately $66 to $4,560.
Saeed Imbabi, executive director of iSagha, linked the domestic increase primarily to the global ounce gain and the US dollar's strength, which exceeded EGP 54 in Egyptian banks. He noted the gap between local and global prices had narrowed to about EGP 107. Markets are watching foreign currency inflows, including tourism revenues and expatriate remittances, alongside interest rate decisions and import financing needs.
Geopolitical tensions tied to the US-Iran conflict continue to affect energy markets and fuel inflation fears, boosting gold's safe-haven appeal amid risks to supply chains like the Bab el-Mandeb and Strait of Hormuz. The OECD raised its US inflation forecast to 4.2%, with over 50% odds of a 2026 rate hike per the FedWatch tool. However, a stronger dollar and higher bond yields limit gains, as gold offers no yield.
Gold had hit a record $5,608 at end-January before dropping 25% to near $4,100, then stabilizing around $4,500 after a 65% 2025 surge driven by central bank buying.
