Dubai gold rates dip after three-day rally
24K gold in Dubai falls nearly Dh5 from Wednesday’s peak
DUBAI: Gold prices in Dubai edged lower on Thursday, reversing a three-day rally that saw prices touch their highest levels this week.
As of 9am on July 24, 24K gold was retailing at Dh407.50 per gram, down Dh4.75 from Wednesday’s peak of Dh412.25.
Other categories also recorded declines. The price of 22K gold fell to Dh377.50, down Dh4.25 from the previous day. Similarly, 21K gold is now at Dh362.00, while 18K gold dropped to Dh310.25, a decline of Dh3.50 in just 24 hours.
This week’s price trend
Earlier in the week, Dubai gold prices were in bullish territory. On Monday, 24K stood at Dh405.00, followed by Dh408.75 on Tuesday, and peaked at Dh412.25 on Wednesday. The recent fall indicates a pause in the upward momentum, potentially reflecting shifting market sentiment and international cues.
Despite a global cooling in spot gold prices, Dubai’s rates earlier remained buoyant due to steady retail demand and dirham-dollar dynamics. However, Thursday’s decline aligns more closely with international movement.
Global market cues
Globally, spot gold was steady at $3,387.15 per ounce in early Asian trading, following a 1.3% drop the previous session. US gold futures dipped slightly to $3,492.50. The easing of trade tensions between major economies reduced demand for gold as a safe-haven asset.
While recent negotiations between the US, Japan, and the EU boosted market confidence, the US dollar index slipped to a two-week low, supporting gold marginally. This weaker greenback typically makes gold more attractive for holders of other currencies.
Other precious metals
In the broader precious metals market, spot silver slid 0.3% to $39.16 per ounce. Platinum remained unchanged at $1,411.53, while palladium lost 1%, trading at $1,265.50.
Investors are closely watching upcoming economic indicators, including US jobless claims, PMI data, and the European Central Bank's rate decision – all of which may influence global metals pricing in the days ahead.