BAKU, Azerbaijan, November 20. Fluctuations persist in both global and domestic gold markets. Worldwide economic developments, expectations concerning the interest rate policy of the United States Federal Reserve System (FED), the strengthening of the US dollar index, large-scale short-term selling operations, and shifts in geopolitical risks are all exerting direct influence on gold prices.
How have these global economic processes affected the purchasing power and prices of gold jewelry in Azerbaijan?
Deputy Chairman of the Board of the Azerbaijan Jewelers Association, economist Rovshan Amirjanov, told Trend that gold prices on global exchanges had recently approached historic highs before entering a correction phase.
The official stated that the current decline is short-term in nature and does not alter the fundamental trends of the market. He noted that this situation is linked to central banks’ continued accumulation of gold reserves, persistent global inflationary risks, and ongoing uncertainty in financial markets. Accordingly, gold continues to be in strong demand as a safe-haven asset.
He explained that prices in the Azerbaijani market mirror the dynamics of international exchanges and are shaped by factors such as the exchange rate, logistics, and other associated costs. As a result, daily price fluctuations are observed in gold powder, bullion, and jewelry products.
The economist added that gold prices in Azerbaijan differ depending on the shop, brand, design, weight, and craftsmanship.
Amirjanov also presented the average figures currently observed in the market, noting that one ounce of gold is trading above $4,000 on global exchanges.
“On the Azerbaijani market, 999-carat gold has a metal value of
about 221 manat ($129.9), while jewelry pieces are sold in the
range of 250-270 manat ($147-158.7).
750-carat gold (18K) has a metal value of about 167 manat ($98.2),
with jewelry sold at 200-240 manat ($117.6-141.1).
585-carat gold (14K) has a metal value of about 130 manat ($76.4),
and jewelry pieces range between 160-190 manat ($94.1-111.7),” he
said.
Amirjanov emphasized that these prices reflect real market indicators and are updated daily in accordance with changes in international gold value.
He also commented on how purchasing power is shifting amid changing prices:
“Seasonal dynamics are crucial in the jewelry market. Autumn and spring are considered peak sales periods. Although a slight easing has been observed in recent months, there is no significant decline in overall purchasing power.
Weddings and family ceremonies remain the main factor supporting stable sales in the market. In addition, gold is not only a decorative item but also an investment tool. For this reason, sales of gold bullion and coins have increased noticeably,'' he said.
He added that while sales of precious stones vary by budget segment, the overall trend remains stable.
“The precious stones market operates more steadily. In Azerbaijan, prices for diamonds and other precious stones are largely based on the price lists used in centers such as Belgium (Antwerp), Israel, India, and the UAE. Calculations are mainly carried out based on Rapaport price tables. Demand for laboratory-grown (synthetic) diamonds has also increased in recent years.
Stone prices are determined according to carat weight, color grade, clarity level, and cut quality.”
Amirjanov also shared current retail prices for precious stones in Azerbaijan:
“Demand is higher for 0.30–0.50-carat diamond stones, which are considered more affordable for mid-budget buyers. One-carat and above stones dominate as both investment assets and special gifts. Although there has been a slight decrease in demand for stones such as sapphire, ruby, and emerald, overall market activity remains steady and sales continue.
Overall, diamond-set jewelry continues to represent the most highly demanded category in the country. Demand for other precious and semi-precious stones remains stable, with each maintaining a distinct customer base.
The economist observed that gold prices in the local market are primarily influenced by trends on global exchanges.
He noted that demand for 585- and 750-carat gold remains consistent in the Azerbaijani market, while bullion and coin gold are increasingly attracting investor interest. The market for precious stones exhibits minimal volatility, with sales maintaining steady levels. Overall, there is no significant decline in buyer behavior, with only segment-specific variations being observed.
Based on current trends, he projected that one ounce of gold is likely to trade within the range of $4,200–4,400 by the end of the year.
He advised that buyers purchase exclusively from reputable stores and always obtain an official certificate when making a transaction.
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