Dubai gold price hits Dh362.5 per gram, lowest since mid-April
Shoppers flock despite high rates on Akshaya Trithiya
DUBAI: The price of gold in Dubai fell to Dh362.5 per gram for 22K on Thursday, marking the lowest level in over two weeks.
However, the drop came a day too late for thousands of shoppers who turned out on Wednesday, April 30, to mark Akshaya Trithiya – a key festival for gold purchases among Indian communities.
Despite higher rates prevailing at Dh366–Dh369 per gram during most of Wednesday, jewellery stores across Dubai and the wider UAE saw a surge in customer traffic. Residents and tourists flocked to shops, driven by tradition rather than price sensitivity, leading to one of the busiest gold-buying days of the year.
Buying rush continues
From midday until store closing, the Dubai Gold Souq and outlets in malls experienced continuous demand. The rush reflected pent-up consumer interest, as gold had previously reached a peak of Dh388 per gram last week.
While the rate eased slightly to Dh366 by late afternoon on April 30, it wasn’t enough to deter early buyers. Jewellery, gold coins, and investment bars were in strong demand. Retailers observed that cultural commitment played a larger role than price trends in shaping Wednesday’s shopping behaviour.
A noticeable trend was the increase in monthly gold saving plan registrations, particularly among younger shoppers. These instalment-based schemes allow buyers to contribute a fixed sum each month and make gold purchases after a set period – often 12 months.
Several customers viewed this as a strategic move, aiming to accumulate gold by the time Akshaya Trithiya returns in 2026. Many jewellers also incentivised sign-ups by offering additional contributions equivalent to one month’s payment.
Global market impact
Thursday’s gold price decline in Dubai reflected broader global market trends. Spot gold dropped 2.41% to $3,228.56, while US futures fell 2.54% to $3,234.72. The fall was largely influenced by easing trade tensions and a strengthening US dollar.
In addition to the 22K decline, 24K gold in Dubai dropped Dh7 to Dh391.5, while 21K slipped to Dh347.5 and 18K to Dh297.75.
According to the World Gold Council, global gold demand rose 1% year-on-year to 1,206 tonnes in Q1 2025, driven by ongoing uncertainty and strong investment interest. Central banks added 244 tonnes to reserves during the same period, maintaining a 16-year trend of net buying.
Despite market volatility, Dubai’s gold sector witnessed one of its most active days this year, driven by cultural tradition, consumer loyalty, and a mix of retail and investment demand.