Demand for gold rises as prices hit four-year low

AMMAN — Demand for gold in Jordan continued to rise as the precious metal’s price reached a four-year low, according to the Jordan Jewellers Association.

Rebhy Allan, the association’s secretary, attributed the drop in gold prices to the US dollar’s rise against rival currencies. 

“This fact has encouraged consumers to buy gold,” he told The Jordan Times over the phone on Wednesday. 

The price of 24-karat gold in the local market stood at JD26.5 per gramme on Wednesday, while 21-karat gold was priced at JD23.5 per gramme, and 18-karat gold was worth JD20 per gramme, according to Allan, who did not have the latest sales figures. 

He noted that demand for gold usually soars during summer, due to social occasions and other factors, but drops in winter.

The growing number of weddings, the occasion of Eid Al Adha and Jordan’s stability and security contributed to increasing consumer demand for gold in September, with Jordanians spending JD28 million on 936 kilogrammes of the precious metal, Allan told The Jordan Times in a recent interview. 

Around 750 jewellery stores are located in the Kingdom, according to Allan. 

On Wednesday, the dollar rallied against the euro and yen as gold prices dived to a fresh four-year low, Agence France-Presse reported.

The dollar rallied against major rival currencies after Republicans took control of the US Senate from Democrats overnight, which many investors hope might result in more business-friendly policies, the agency said.