Striking Paydirt: How ‘Hooks’ are Revolutionizing the Market with Lightning-Speed Impact

Agadir 24 | Agadir24

The “hook-up” activities extended to the gold and precious metals market, where players in the gold sector warned of a major crisis in the sector, after the raw material became in the hands of these speculators.

In light of the spread of news about the possibility of the price of gold exceeding one thousand dirhams per gram by the end of the current year, professionals confirmed
The entry of “Al-Shanaka” into the gold market caused the price of raw materials to rise to record levels, as it reached 730 grams of 18-karat gold, which is an unprecedented price, exceeding the price of raw gold at the international level by more than 100 dirhams per gram, noting that the difference did not exceed at its maximum. 50 dirhams.

Al-Sabah newspaper reported, quoting a number of merchants, that these “shanakas” decided to acquire large quantities of raw gold, since it does not require a large space for storage, and its prices are constantly rising and they are easy to sell in any circumstance.

The newspaper explained that what encouraged the “hook” to dry up the gold market of raw metal was the spread of rumors about an unprecedented rise that the precious metal would witness in the future, highlighting that this matter prompted families to refrain from selling their jewelry until the gold reached its maximum price, which deprived the market of jewelry. Old ones that were exploited for recycling by makers and craftsmen.

On the other hand, the same merchants spoke about some “strangers” who stormed the square, and who had wealth from suspicious activities such as drug trafficking and tax evasion, as they bet on acquiring quantities of gold to store their money, instead of keeping it or resorting to other methods of storage that might pose a danger to them. .

This chaos caused major paralysis in the gold sector, as industrial units and workshops were forced to temporarily stop their activity, awaiting a decline, while professionals raised the slogan of boycott and retreat from the acquisition of raw gold to stop the huge demand for it.

This comes at a time when Bank of America analysts reiterated their expectations that gold prices may reach $3,000 per ounce during the next year, which was confirmed and supported by strong purchases of bullion, so that demand for the yellow metal recorded its best second quarter in 25 years. At least, according to World Gold Council data.

Economic analysts believe that gold has continued to stabilize at high levels since the beginning of the summer, driven by the weakness and fluctuation of the US dollar, as well as other intervening factors, namely the increasing economic and geopolitical uncertainty, in addition to high inflation rates in many countries during the past two years.