Gold prices in Egypt dropped sharply on Tuesday to their lowest level this year amid falling global markets and a stable Egyptian pound.
Local prices for 21-karat gold opened at EGP 5,850 per gram after declining around EGP 90 per gram at the start of trading. The metal has remained below the EGP 6,000 threshold, with prices stabilizing near EGP 5,850.
The decline followed a sharp drop in global gold prices, with spot gold falling nearly 2 percent to around $4,109 per ounce. The US dollar traded below EGP 50 in Egyptian banks, limiting the impact of currency movements on local pricing.
Demand eased this week after strong buying last week, while supply of gold bars and coins improved. Globally, expectations of US Federal Reserve rate hikes, including forecasts from Bank of America for three increases later this year, added pressure on gold.