Dubai gold drops Dh8.75 as global prices rebound
Silver edges higher as markets reassess interest rate outlook
DUBAI – Dubai’s gold market continues to mirror global volatility, with retail rates shifting in response to geopolitical tensions, currency strength and inflation expectations.
The emirate remains one of the most closely watched hubs for bullion pricing, with daily updates from the Dubai Jewellery Group offering a benchmark for regional consumers.
Movements in international markets, particularly the US dollar and crude oil, continue to play a decisive role in shaping local rates.
On Tuesday, retail gold prices in Dubai recorded a notable decline compared to the previous day, reflecting the sharp pullback seen on Monday before a modest global rebound. Rates across all major karats eased, signalling a cautious sentiment among traders despite stabilisation in international markets.
Dubai gold rates
According to the Dubai Jewellery Group, 24K gold was priced at Dh546.25 per gram, down from Dh555.00 on Monday, marking a drop of Dh8.75. Similarly, 22K gold fell to Dh505.75 from Dh513.75, while 21K declined to Dh485.00 compared to Dh492.75. Lower karats also registered decreases, with 18K at Dh415.50 from Dh422.25 and 14K at Dh324.25, down from Dh329.50.
The decline follows a broader correction after gold prices fell more than 2 per cent in the previous session globally. Despite Tuesday’s marginal recovery in international markets, local rates remained under pressure, reflecting the lagged impact of earlier losses.
Global trends
In international trading, spot gold rose 0.5 percent to $4,543.33 per ounce after hitting a five-week low, while US gold futures edged up to $4,553.10. The rebound comes amid heightened geopolitical tensions, particularly ongoing hostilities between the US and Iran around the Strait of Hormuz, a critical global oil transit route.
Oil prices have remained elevated, with Brent crude holding above $113 per barrel. This surge has intensified inflation concerns, complicating the outlook for US monetary policy. A stronger dollar has further weighed on gold, making dollar-denominated metals more expensive for international buyers.
Markets have largely priced out the possibility of US rate cuts this year, with expectations shifting towards tighter policy. Rising Treasury yields have also reduced the appeal of non-yielding assets such as gold, limiting gains despite its traditional role as an inflation hedge.
Other precious metals
Other precious metals showed modest gains. Spot silver rose 0.4 percent to $73 per ounce, continuing its upward trajectory alongside gold’s rebound. Platinum increased 1.4 percent to $1,971.86, while palladium gained 1.1 percent to $1,495.43.