Gold prices keep rising, and jewelry companies are sounding the alarm

In the midst of global economic turmoil, precious metal prices are increasing.

Price gold Especially last year increased rapidly and increased more than 50 %. For quality gold necklaces, earrings and medium -sized jewelry companies aiming to offer more Gold -term transactions can cause problems at lower price points than old luxury jewelry brands.

According to Goldman Sachs, although gold was usually exposed to market fluctuations, investors increased their presence last year due to fear of recession and market uncertainty. Gold continues its double -digit rise in the third year in a row, and even reached record levels during the closure of the government this week.

On Tuesday, gold prices have reached $ 4,000 per ounce for the first time in history and do not show any slowdown signs.

Analysts from UBS wrote that low interest rates last week would continue to increase the price of gold in the dollar and political uncertainty.

“We expect the entrance to be 830 mt for this year, this is almost twice our first estimation of 450 mt at the beginning of the year.” he wrote. “The main risk for gold is that the US has to raise interest rates due to better growth and upward surprises due to inflation.”

A Goldman Sachs report Since the end of last month, the company predicted that the price of gold would increase to ounce of ounce, an ounce of measuring a measuring unit used for precious metals by increasing 6 %until the middle of 2026. The report divided its golden buyers into two groups: faithful buyers who constantly buy metal and opportunist buyers who jump when they believe that the price is true “.

Analysts said they expect central banks to continue to buy gold for three more years.

“Our justification is that developing market central banks are significantly below gold weight compared to their developed market peers, and gradually increasing allocations as part of a wider diversification strategy compared to developed market peers.”

And according to July Survey Data According to the World Gold Council, approximately 95 percent of central banks are waiting for the increase in global gold assets next year.

This uncertainty comes above the global economy, which is already turbulent due to the changing tariff policies of President Donald Trump. Although it clearly states that gold will not be subject to customs duties in August and that the bindings coming from Switzerland will not be subject to 39 %customs duties of the country, Trump’s high rates for other countries disrupt the global supply chain.

The increasing price of precious metal can be a source of concern for jewelers. Large retailers like Pandora and Seal They signaled that they investigated price increases or alternative production methods to balance the coup they received from gold.

And some jewelry companies that aim to offer gold products such as Mejuri at lower price points also feel pressure.

Mejuri targeting sales Offering gold and luxury jewels at more appropriate levels than its competitors, the company announced last month that it had to increase its prices due to the increase in gold, silver and customs duties.

“Although we do everything we can to absorb the impact and protect the quality and labor you expect from us, you will see updates at some prices on Monday,” he wrote in an e-mail he sent to customers. “We are struggling with these changes directly: We regulate our supply chain, strengthen the use of resources and design it with the pricing in mind.”

The company also said that it has developed new products such as 10 setting Som Gold to continue to offer quality jewels at affordable prices. Mejuri refrained from commenting.

Some jewelry companies are forced to be innovative in terms and products because gold prices are rising and not showing a stop for stopping.

In the second quarter earnings report in August, Pandora said that he was facing a 80 basis -point coup due to increasing gold and silver prices and planned some price adjustments to balance these negativities. And then Seal The company said that in the last earnings of the earliest earnings, the cost of the gold has increased by more than 30 %.

Specializing in quality jewels, Baublebar, the founding partner Daniella Yacobovsky’nin, according to the company’s gold prices caused by the pressure of the pressure that allows the impact of a large “half -quality” gold pieces offers a range of gold pieces.

The company’s semi -quality jewelry has a thick, high -quality 18 -carat gold coating on the nuts, which allows Baublebar to avoid cost -related costs. The brand’s semi -thin earrings range from 50 to 150 dollars.

Yacobovsky, CNBC’ye “in fact, we have seen a really big increase in interest in semi -fine,” he said. “I think that this offers people a really great alternative to the bottom of them. … You will get a really great quality like this at a lower price.”

Nevertheless, Yacobovsky said that it is worrying that important events affecting the global economy were realized at higher rates than five years ago. He said that “for a long time” in the sector does not seem as much variable as the price of the rapidly increasing gold.

The important thing will be that businesses will benefit from their ability to make smart choices.

For Alexis Bittar, the CEO of the jewelery company bearing its name, the smart choice meant to turn to gold -plated pieces that allow the company to save costs compared to the bottom of the company and to increase prices a little.

However, Bittar said he did not re -pricing any of the company’s existing products.

Bittar, “Tariff and the acceleration of gold prices constantly hokbazlık, so you stay at a price point you are known,” he said. “When we look at the consumer, they don’t care much. They know vaguely that gold prices are rising … But mentally, there is an unconscious price point they want to spend, and when you start to overcome it, you pricit people.”

Bittar said that his company sees a “cautious” consumer, but any decline in expenditures is probably about solid gold rather than under the coating, and the rich consumer base is more willing to pay higher prices than low or medium -income consumers.

Even for the ear drilling company Rowan, which offers gold jewelry, the rapidly changing industry can create spelling problems. CEO Louisa Schneider told CNBC to imagine another industry that increases raw material costs as dramatic as gold.

Since ears require some surgical steel or titanium for ideal healing, Rowan often uses 14 carat gold to cover these materials, and the company leaves the company “somehow insulated” from the price of gold, as it must meet certain health and safety standards.

Nevertheless, Schneider said that Rowan had to increase the prices of some gold parts at the beginning of the third quarter, and that customers are ready to pay it because the company specialized in employing trained nurses for Piercings.

“This is an indicator of fear. This is quite worrying for me,” Schneider said. “Our expectation is that we do not see a significant decrease in existing prices, and we expect that gold will continue to be quite expensive.

Schneider said that he sees a “turning point” in the price of gold, and this is a concern for those who can’t increase their prices to balance costs because they sell to non -luxury consumers who are less flexible in price changes, especially in price changes.

After all, even if it doesn’t affect Rowan too much, he said he served as a warning sign for the general economy.

Schneider, “demand, consumers who want to wear gold or production as a component of production does not come from the sectors that need gold,” he said. “This comes from the Golden Stack of Golden Considering the uncertainty around the US dollar, and this is not like anything we’ve ever seen.”

Correction: In a previous version of this story, Signnet’s sales were misleading.