[Editor’s Note: Curious about Dubai’s gold rate? Click here]
On Tuesday morning, gold prices in Dubai fell by Dh3.5 per gram after reaching a six-week peak on Monday.
According to the Dubai Jewellery Group, 24K gold in the Emirates was priced at Dh508.25 per gram, down from Monday’s close of Dh511.75 per gram.
Prices for other gold variants also dropped, with 22K, 21K, and 18K gold now at Dh470.75, Dh451.25, and Dh386.75 per gram, respectively. The newly-introduced 14K gold saw a Dh2 decrease to Dh301.75 per gram on Tuesday.
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The UAE celebrates its 54th National Day, known as Eid Al Etihad, today. Globally, spot gold was trading at $4,225.35 per ounce, a 0.38 per cent decrease.
Rania Gule, a senior market analyst for Mena at xs.com, stated that the gold price of $4,250 indicates strategic investor repositioning in anticipation of a more adaptable monetary phase in the coming weeks.
She highlighted that the widespread weakness of the US dollar is a significant support for this rally, serving as both a technical and fundamental factor that explains gold’s stability above critical levels.
“Currently, markets anticipate, with an 87 per cent probability, that the Federal Reserve will decrease interest rates by 25 basis points in the December meeting. These expectations align with economic indicators and policy direction. Recent data shows economic slowdown, declining inflation, and political tensions in the US make maintaining a strictly hawkish stance challenging,” Gule added.
“This current dollar weakness is not temporary; it reflects a deeper policy expectation shift,” she concluded.
