Athman Gold buyers, this is an important day. Gold has fallen to approximately $4,020 to $4,066 per ounce this Monday July 13, down more than 2% as the Middle East ceasefire collapsed over the weekend. This is now the deepest discount of the entire year — roughly 28% below January’s record high. Here is exactly what is happening and what it means at the counter.
Today’s prices:
24K: ~$130.00/gram | 22K: ~$119.20/gram | 21K: ~$113.75/gram | 18K: ~$97.50/gram
Savings versus January all-time high ($5,597/oz):
24K: saving about $50.50/gram | On a 20g piece: about $1,010 saved | On a 50g necklace: about $2,525 saved
Savings versus one month ago (gold ~$4,340):
24K: saving about $10.30/gram | On a 20g piece: about $206 saved | On a 50g necklace: about $515 saved
These are the most attractive gram prices we have seen all year.
Why did gold fall when there is a war? This surprises many buyers, so here is the simple explanation. Iran has closed the Strait of Hormuz — the waterway carrying a fifth of the world’s oil — after the US struck 140 Iranian targets. Oil surged 7% to $81 a barrel. Higher oil means higher inflation. Higher inflation means the US Federal Reserve is more likely to raise interest rates — markets now see a nearly 70% chance of a September hike. And higher interest rates push gold down, because gold pays no interest and competes with savings that do. So the war is pushing gold down, not up.
What should buyers do?
For weddings and gifts: today’s prices are the best of the year. A 50-gram necklace costs roughly $2,525 less than at January’s peak. This is an excellent buying opportunity.
For long-term savers: while the price is down, note that China’s central bank bought gold in June at its fastest pace in over two and a half years — the world’s most patient buyers are accumulating at these levels. Buying at multi-month lows is how disciplined savers build wealth.
For those who can wait: gold could fall further toward the $3,920 support level if this week’s news is bad, which would be an even deeper opportunity. But it could also rebound. Consider buying in stages.
Watch this week: Fed Chair Warsh testifies before Congress on Tuesday — his words could move gold significantly. The June CPI inflation report also arrives. If inflation is hot, gold could dip further; if it is moderate, gold could recover.
Important: The market is highly volatile today. Please confirm the live price with us before purchasing, as prices can move quickly.
Current prices: 24K — $130.00/gram | 22K — $119.20/gram | 21K — $113.75/gram
All prices USD. Monday July 13 session. Highly volatile — confirm live price before purchase.
