The “i Sagha” platform has requested the Office of Seals and Scales of the Egyptian Ministry of Supply and Internal Trade, as its trusted authority with jurisdiction over market control, to issue a public opinion statement disclosing the volume of production of gold companies and brands of bars and pounds in the first quarter. 2023.
This is because the increase in the price of gold at this pace confirms an increase in production and sales of about 3 times, at least according to the supply and demand mechanism, which some take as an excuse to increase prices, citing a statement by the Platform.
Saeed Imbabi, chief executive of i Sagha, an online gold and jewelry trading platform, said the statement should include each company’s production volume and die size in order to disprove the idea of supply and demand, as well as identify tax evading companies. stamped outside the Department of Stamps and Scales, which opens the door to counterfeiting of gauges, as well as maintaining the right of the state to collect the tax due.
He added that output and stamped data would reveal the extent of price manipulation and disprove the idea of tying growth to a supply and demand factor.
The iSagha platform announced that it will suspend the publication of gold prices during trading on Thursday until the market corrects the pricing process due to the ongoing manipulations adopted by those in charge of the market after the decision to liberalize the exchange rate last year . which has led to the adoption of unfair local pricing characterized by exaggeration that is not related to market determinants such as world exchange prices, the official dollar exchange rate and the supply and demand mechanism.
Imbabi explained that the platform is not a pricing authority, but plays an intermediary role between the pricing entities of dealers and consumers of raw gold, and the platform is trying to clarify supply and demand trends in the market, as well as identify any manipulation and trading in irrational prices. prices that satisfy the interests and whims of some market participants.
He added that once the platform announced on its pages the suspension of publication prices, some called for it not to comment, while others called for it to back off, and some called for it to report the practice to the relevant authorities or take a strong stand against the manipulators.
Imbabi pointed out that the current circumstance is a difficult circumstance, and the market is witness to many variables, and the prices traded in local markets are effectively separated from the prices in the global stock exchange, and prices are subject to caprice and interest.
He added that under the pretext of supply and demand, manipulators resort to hide their crime against citizens, and the market interacts with the movement of world price spikes and separates from it at the time of the fall, and the announced price of the Central Bank dollar is relatively stable, like prices in parallel markets .
He pointed out that the price of gold at auctions locally against the dollar exceeds futures contracts, noting that it fixed about 50 pounds during trading on Thursday.
He explained that gold prices rose by about 240 pounds yesterday in light of lower world prices and the stability of the dollar.
He pointed out that increased demand will not move prices at this pace, especially since silver prices are trading at about the same level in light of weak demand for it locally, which indicates suspicion of price manipulation.
He added that whoever owns the data on supply and demand in the gold markets to present them to public opinion added that this is one of the factors influencing the rise in prices.
He pointed to the need for concerned departments to take steps to save citizens’ savings and put forward fair prices consistent with international prices, a fair exchange rate and a real supply and demand mechanism.
