The Gold Division explains the reasons for the precious metal's record-high rise
April 26, 2025
Ehab Wassef, head of the Gold Division at the Federation of Egyptian Industries, said that global markets were anticipating financial and economic policies with the inauguration of US President Donald Trump, which led to market instability.
During a phone call with media professionals Rasha Magdy and Nihad Samir on the "Sabah El Balad" program, broadcast on Sada El Balad Channel, Wassef explained that the trade war actually began on January 16, 2025, before Trump's official inauguration, which led to a series of consecutive increases in global gold prices. He added that the escalation in economic statements prompted major industrialized countries, led by China, to respond in kind by imposing equivalent tariffs on US products, which exacerbated economic tensions.
Wassef pointed out that the turmoil experienced by the dollar prompted investors to seek a safe haven, which increased demand for gold on global stock exchanges.
He emphasized that global central banks have resorted to strengthening their gold reserves in anticipation of any potential decline in the value of the dollar, which has led to increased demand for the yellow metal globally. He explained that the decline of the dollar against major currencies is fueling global gold prices, and that the yellow metal rises and falls momentarily.
