Baghdad's Gold Market in Limbo as Prices Continue to Fluctuate

In Baghdad's gold market, buyers are uncertain about when to buy as prices fluctuate. Umm Adam, a customer, had planned to purchase jewelry for a family occasion but hesitates due to the recent price drop and subsequent rise.

Gold prices in Baghdad rose on Tuesday, reaching 948,000 Iraqi dinars ($724.16) per mithqal (5 grams), an increase of 8,000 dinars from Monday. Some buyers, like Umm Adam, are waiting for a suitable level to buy, while others, such as Umm Anas, who bought gold earlier as a form of saving, are holding off due to the price increases.

Gold shop owner Zaid al-Ta'i noted that customers have become more cautious given the rapid price changes, describing gold as both an ornament and a store of value. Economic expert Muhammad al-Hasani attributed the volatile prices to global market uncertainty and geopolitical developments, but emphasized that gold remains a leading haven during crises due to demand from countries like China and India.

Mudhhir Muhammad Salih, financial adviser to the prime minister, pointed out that gold prices are influenced mainly by movements in the US dollar and interest-rate levels, noting that prices in the Iraqi market are tied to global prices and the dollar exchange rate.