Dubai gold at June low with 24K falling to Dh519.75
Silver, platinum and palladium extend losses in early trade
DUBAI – Dubai’s gold market opened the week on a softer note, offering buyers further relief after bullion prices fell to their lowest levels of June.
The emirate remains one of the world's most closely watched retail gold hubs, with local rates moving in line with international markets. Monday’s decline follows a sharp sell-off in global gold prices as investors reassessed the outlook for US interest rates and monitored escalating geopolitical developments in the Middle East.
Dubai gold rates
According to the Dubai Jewellery Group’s retail rates on Monday, 24K gold was priced at Dh519.75 per gram. The 22K variant stood at Dh481.25 per gram, while 21K gold was available at Dh461.25. The price of 18K gold reached Dh395.50 per gram, and 14K was selling at Dh308.50 per gram.
The latest prices mark a continuation of the downward trend seen in recent sessions, with Dubai gold touching its lowest level so far this month. The decline mirrors movements in international bullion markets, where investors have been reducing exposure to gold amid expectations that US interest rates could remain elevated for longer or even rise further before the end of the year.
Market participants are closely watching signals from the US Federal Reserve after stronger-than-expected economic data reinforced expectations that policymakers may maintain a restrictive stance to combat inflation. Higher interest rates generally reduce the appeal of non-yielding assets such as gold, placing pressure on prices.
Global markets
In international trading, spot gold fell 1 percent to $4,287.66 per ounce on Monday morning. The precious metal had already lost around 3 percent on Friday, reaching its weakest level since March 24. US gold futures for August delivery were down 1.2 percent at $4,311 per ounce.
The US economy added 172,000 jobs in May, extending a run of solid labour market performance and giving policymakers more flexibility as inflation risks remain in focus. Following the employment data, markets increased expectations that the Federal Reserve could raise rates before the end of 2026.
At the same time, yields on benchmark US Treasury notes climbed, increasing the opportunity cost of holding gold and adding further pressure to bullion prices. The US dollar also remained supported by expectations of tighter monetary policy.
Geopolitical tensions remained a key backdrop for financial markets. Israel said it had struck military targets in western and central Iran on Monday, despite reports that US President Donald Trump had urged restraint. The developments came after renewed regional instability that has also included tensions involving Beirut and wider Middle East security concerns.
Oil prices surged by more than $3 a barrel, fuelling fresh concerns over inflation and its potential impact on future interest-rate decisions.
Other precious metals
Other precious metals also traded lower. Spot silver declined 2.2 per cent to $66.33 per ounce, while platinum fell 2.1 percent to $1,739.78. Palladium was down 1.5 percent at $1,207.50 per ounce, reflecting the broader weakness across the precious metals complex.