Soaring gold prices do not deter Jordanian buyers

Local demand for gold has been on the rise, particularly during the Eid period, although the metal’s price continues to skyrocket, according to the jewellers association. Rebhy Allan, secretary of the Jordan Jewellers Association, told The Jordan Times on Sunday that despite gold continually reaching record prices, Jordanians are still purchasing the precious metal for wedding purposes or investment, as many consider it a safe asset. Demand has been increasing steadily, but during the Eid period, there was a surge as the wedding season peaked before Jordanian expatriates started to return to the countries where they work, the jeweller said. Allan urged Jordanians to continue purchasing gold - which, he said, is currently the safest item for saving and investment - as he expects prices to keep rising. Over the past fortnight, the price of gold went up as much as $47.80, or 2.6 per cent, to settle at $1,876 per ounce, according to the World Gold Council. The leading jeweller said that the price of 24-karat stands currently at JD42.7 per gramme, while the price of one gramme of 21-karat gold is JD37.5 and of 18-karat gold is worth JD32 per gramme. Allan said “there was a large demand for what is known as “Russian gold”, or fake gold, in 2009 and 2010, but “buyers found out that it is not worth the money to own such accessories”. “These fake products are accessories only and not related to gold,” he stressed, adding that some shops used to charge high prices in order to trap buyers. He warned that people should be aware that these items have no real value.