On Friday, gold prices reached a record high of Dh429 per gram, before slightly declining later in the day.
Data from Dubai Jewellery Group indicated that 24K gold hit Dh429 per gram before dropping to Dh427.5 per gram. Similarly, 22K gold achieved a record of Dh397.0 per gram, then decreased to Dh395.75 per gram.
Spot gold remained steady at $3,551.22 per ounce on Friday afternoon.
As prices soar, demand patterns are evolving. Over recent years, budget-conscious shoppers in the UAE have increasingly opted for lighter, more affordable jewelry, while some have delayed purchases altogether.
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Small investors face a dilemma—unsure whether to hold, sell, or buy more coins and bars in hopes that the price rally will persist.
“Indeed, the market is experiencing a shift towards lightweight and affordable everyday jewelry, driven by current gold prices and changing lifestyle trends,” said a Joyalukkas spokesperson.
“Contemporary designs are gaining popularity among younger buyers, yet traditional collections still retain their timeless charm. Exclusive offers and promotions also enhance the shopping experience and maintain consumer interest,” the spokesperson added.
Samer Hasn, senior market analyst at xs.com, noted that spot gold is stable just below its all-time highs, hovering around $3,550 per ounce.
“Following a sharp rise in recent days, the metal is now consolidating as investors assess economic risks and political uncertainties influencing the macro environment. Gold’s recent strength has been driven more by concerns over economic stability than by expectations of rate cuts, with long-term bond selloffs supporting this view,” Hasn stated.
