İslam Memiş said 'there will be a turning point' and pointed to gold and silver: Investors and those with debt should be careful

Financial analyst İslam Memiş, in a broadcast he participated in, explained his market expectations for the new week. Stating that precious metals experienced a similar pullback in parallel with the decline in oil prices at the start of the week, Memiş emphasized that this reflects the uncertainty in the market. Underlining that under normal circumstances, gold and silver declines are seen when oil prices rise, the analyst assessed the current situation, where both are declining simultaneously, saying, “Now there will be a breakout. One of them will either diverge negatively or positively. There is uncertainty here. However, I expect gold and silver to diverge positively this week,” thus expressing his expectation of a recovery in the price of gold per ounce.

Gold and Silver Undergoing Recovery Process

Stating that the price of gold per ounce is currently at $4593 in international markets, Memiş said, "I can say that I expect a recovery this week to reach $4660, $4700, or even $4780." The expert also noted that gram gold continues to closely follow the price of gold per ounce, and that it is currently trading at around 6,690-6,700 Turkish Lira in international markets.

Analysts stated that the decline in ounce gold at the start of the week presented an opportunity for investors, and reiterated their expectation of an upward movement in gram gold. Referring to silver, Memiş noted that both ounce and gram prices were at very favorable levels, adding that he saw a potential rise to $82 per ounce and a target of 120 lira per gram for silver.

Labor costs have decreased in the physical gold market.

Memiş, who also discussed current developments in the physical gold market in detail, noted that the narrowing of the price difference between the Grand Bazaar and neighborhood jewelers is remarkable. Recalling that in January and March, there was a significant labor cost of approximately $9,000 per kilogram of gold bullion, which drove price differences upwards, the analyst said, "Even in the Grand Bazaar market, there was a difference of 250-300 lira during abnormal periods."

"However, this $9,000 labor cost has been eliminated," he said, emphasizing the normalization in the market. Memiş noted that the spread, which previously reached up to 250 lira, has now decreased to approximately 50 lira, and this is considered normal in market conditions. He recalled that they had previously recommended purchasing through banks. He stated that with the elimination of labor costs, investors can now make physical gold purchases much more easily.

Stock Market and Currency Markets Expect Calm

Memiş, who also shared his projections for the Istanbul Stock Exchange and other financial assets with investors, reminded that the BIST 100 index finished the week at 14,442 points and predicted that technically, the rise could continue up to the 14,600-14,800 point range. Stating that the euro/dollar parity will be monitored in the 1.17-1.19 band in the currency market, the expert said that he does not expect a very pessimistic week overall and that a very calm outlook prevails in the markets.

Memiş concluded his general assessment by stating that he expects a recovery in other assets against oil and hopes for positive developments in the markets throughout the week.(eril)