In recent days, an increase in the price of gold has been observed. Not only gold, but also the value of other precious metals has risen. These increases have even reached record levels.
Modern.az spoke with Rovshan Amircanov, Deputy Chairman of the Board of the Azerbaijan Jewelers Association, regarding the latest situation and expectations in the gold market.
- Mr. Rovshan, to what extent can the price of gold rise in the world market?
- In recent days, the prices of precious metals have been trading at record levels in global financial markets. A rapid increase is particularly observed in the gold market. For the first time in history, the price of gold has exceeded 3900 US dollars. According to analysts, there is a high probability of further increases in gold prices amidst the future interest rate policy of the US Federal Reserve System, high inflation risks, and global uncertainties. The psychological threshold for an ounce is considered to be 4000 US dollars, and it is possible that this threshold will also be surpassed in the near future.
- What changes are observed in the prices of other precious metals?
- The price of silver has reached its highest level in 14 years, exceeding 47 US dollars. This increase is linked to both speculative factors and rising industrial demand. Platinum, settling around 1600 dollars, has renewed its 12-year record and may stabilize in the 1700 dollar range by the end of the year.
- What is the current situation in Azerbaijan's gold market?
- The global upward trend has not bypassed the local market. Currently, one gram of 999.9 carat gold is sold for approximately 205 manats, 750 carat gold for 153 manats, and 585 carat gold for around 120 manats. In the last year, a significant increase in gold prices has also been recorded in Azerbaijan. Sales prices across all carat categories have risen compared to previous periods. Specifically, the selling price of 585 carat gold products currently ranges between 140–160 manats. The price of 750 carat gold products is 180–210 manats. The selling price of 999.9 carat gold products, which have the highest quality indicator, has reached 220–240 manats. This is also higher than the figures from the previous period.
- Which type of gold is in higher demand?
- Higher demand is observed for 585 and 750 carat gold. The reason for this is both the more accessible prices and its widespread use in everyday jewelry products. Pure gold (999.9 carat), on the other hand, is primarily purchased for investment and savings purposes.
- What about the situation in the precious stone market?
- A different picture is observed here. No increase has been recorded in the prices of cut diamonds (brilliants), as well as other precious stones – emerald, sapphire, ruby, and alexandrite. The stability of this market is linked to the activities of international diamond exchanges and the supply-demand balance.
- What is the overall development in Azerbaijan's precious metals sector?
- In recent years, a significant increase has been observed in both production and export indicators in our country. At the same time, approximately 70% of the jewelry products sold in the market are now locally produced, which indicates the development of domestic production.
