Gold coin in Iran will reach its real price in coming days – official (Exclusive)
Baku, Azerbaijan, Oct.6
The collapse of price bubble in gold coin is being witnessed in Iran and it is expected that the coin will reach its real price in the coming days, the head of the Union of Manufacturers and Exporters of Gold, Jewelry, Silver and Precious Stones, Abdullah Mohammad Vali told Trend.
“These days, we are witnessing a sharp fluctuation in the market”, he said.
Simultaneously with the decrease in foreign exchange rates and regain of rial, commencing as of Monday evening, other markets including gold have shown a green light to the prices decline.
The rial has been undermined by the prospect of U.S. sanctions after Washington pulled out of an international deal on Tehran’s nuclear program. U.S. measures targeting Iran’s oil industry are due to take effect in November. Due to fear about US sanctions, people in Iran started purchasing gold coins to protect the value of their capitals.
Abdullah Mohammad Vali said that today, in addition to those who bought coins and gold to maintain the value of their capital, the traders have become anxious. Insecure market conditions say no one can now plan for the future.
“Today, the gold and coins markets are in the hands of brokers and intermediaries”, he said.
“On the other hand, daily news will cause the change in prices.”
Asking what happened in the last three days that prices experienced such a fluctuation? Mohammad Vali said “Now, the coin and currency market is under control of 200-300 people”
“If the policymaker's predictions do not come in the right direction, the market will hit. “
Regarding the coin price, he said: the coin’s price bubble has burst and the coin`s price is approaching its real price.