Photo for representation only. Credit (Freepik)
Prices of gold, a safe haven have shot up in Qatar and are expected to rise further due to the high demand during the holy month of Ramadan, a time of gift-giving and celebration.
Sales of the precious metal have surged by around 70 percent according to gold merchants at Souq Waqif who looked upbeat about sales growing further in the coming days and weeks.
“We have been recording around 80 percent in sales since the start of Ramadan which is the best time for gold and jewellery sales during the year,” said Sales Manager, Gold & Diamond at Gold Centre, Gold Souq, Tony Prakkat in a cheerful mood. Gold has its value not only for manufacturing jewellery but also for many other purposes such as manufacturing electronic and medical devices.Besides its role as a safe commodity gold has been one of the oldest means of exchange by the human race. The precious metal has gained immense sentimental value over the years and has been considered a symbol of wealth and good fortune for generations.
Gold sales are said to rise by over 50 percent during the Ramadan according to an official report last week.
Gold prices in cities such as Doha and Wakra have risen in the recent weeks.
The prices of the precious metal have been bullish as investors believe that the US Fed would delay rate hikes.
Prices of gold are inversely related to the value of the US dollar since the metal is dollar denominated. However, a few merchants said they expected sales to be much better after the value of the US dollar depreciating in the recent past.
“There has not been a big difference in sales which have been the same since the beginning of the year,” said a salesman of Zabarjad Gold Souq-Doha.
Spot gold rose 0.2 percent at $1,959.63 per ounce while US gold futures rose 0.3 percent to $1,960.30.
The dollar index fell 0.2 percent making bullion cheaper for buyers holding other currencies.
