"Jewelers": Gold continues to decline.. and expectations of a recovery in demand

The head of the Jewelers and Jewelry Traders Syndicate, Rezeq Allan, revealed that demand for gold in the local market remains weak, despite the significant declines recorded by global prices, noting that the retreat has not yet been tangibly reflected in purchasing activity.

In a statement to (Alrai), Allan suggested that the coming period will witness an improvement in demand for investment gold, especially gold liras and bullion, as prices reach low levels, which may encourage those wishing to save and invest to take advantage of the current decline and buy with the goal of holding gold for the long term.

He indicated that the decline in the prices of liras to price levels may enhance the attractiveness of investment gold for individuals if the decline continues or prices stabilize at their current levels.

On the global markets front, Allan explained that the gold ounce has fallen to about $3875, recording its lowest level in about 13 months, in a decline that reflects the impact of a set of monetary and geopolitical factors on investor sentiment and precious metal markets.

He pointed out that the US Federal Reserve's statements regarding the possibility of raising interest rates before the end of the year were among the most prominent factors putting pressure on gold, along with concerns related to geopolitical tensions, the possibilities of a complete closure of the Strait of Hormuz, as well as developments related to the oil situation in Saudi Arabia and Yemen.

He added that the coincidence of these factors prompted investors to sell quantities of gold and redirect their investments toward other hedging tools, primarily oil and US bonds, which have become more attractive in light of current developments, which increased pressure on the prices of the yellow metal and led to its decline to these levels.

Allan warned those wishing to buy gold against relying on unreliable offers, calling for communication with the syndicate committee to verify the invoice, weight, karat, and labor charges.

He stressed the necessity of buying from licensed commercial stores and obtaining an official, stamped invoice to protect consumer rights and ensure the safety of the purchase process.

According to statistical data from the Jordan Chamber of Industry, the gold and jewelry sector in the Kingdom includes about 250 factories and workshops specializing in gold smithing and jewelry design, providing approximately 10,000 job opportunities.