Dubai gold rates fall Dh6.50 as 24K price drops to Dh517 per gram
Silver slips as investors weigh tighter monetary policy
DUBAI – Dubai gold rates moved lower on Thursday, with all three major jewellery purity categories recording declines compared with Wednesday.
The 24K rate fell by Dh6.50 per gram, while 22K and 18K prices dropped by Dh6 and Dh5 respectively.
The latest move comes as international gold prices remain subdued amid expectations of further US Federal Reserve tightening, a stronger dollar and shifting oil market conditions linked to the US-Iran conflict.
Dubai gold rates
According to the Dubai Jewellery Group’s suggested retail gold jewellery prices for Thursday, 24K gold was priced at Dh517.00 per gram, compared with Dh523.50 on Wednesday. The 22K rate stood at Dh478.75, down from Dh484.75, while 18K gold declined to Dh393.50 from Dh398.50.
The latest prices also mark a broader retreat from the start of the week. On Monday, 24K gold was Dh525.00 per gram, 22K was Dh486.00 and 18K was Dh399.50. Compared with Monday, Thursday’s rates are therefore lower by Dh8 for 24K, Dh7.25 for 22K and Dh6 for 18K.
Global market
Internationally, spot gold was down 0.1% at $4,281.98 an ounce at 0155 GMT on Thursday, while US gold futures for December delivery were little changed at $4,317.50. The market has been weighed by expectations that the Federal Reserve could maintain a higher-for-longer approach after its latest rate increase.
The US central bank raised its benchmark interest rate by 25 basis points last week to 3.75% to 4.00%. Persistent inflation pressures and stronger US economic activity have increased expectations of another tightening move, reducing the relative appeal of non-yielding bullion. US business activity also reached a more than five-year high in September, although strong demand pushed supply-chain costs higher.
The dollar has also remained an important influence. The dollar index reached a two-month high earlier this week, while Reuters reported it at 100.48 on Tuesday after investors weighed the prospect of further Fed increases. A stronger dollar can make gold more expensive for buyers using other currencies.
Iran and oil
Oil markets have added another layer of uncertainty for precious metals. Brent crude rose almost 4% on Wednesday to settle at $103.08 a barrel, but prices turned lower on Thursday after Iran indicated it remained open to diplomacy aimed at ending the US-Iran war. Reuters reported Brent down 0.9% at $102.13 a barrel and West Texas Intermediate down 0.7% at $91.56.
The Strait of Hormuz remains central to energy-market concerns. Iran has indicated that it could reopen the strategic waterway if US military pressure and the blockade of Iranian ports are eased. Saudi Arabia has also restarted its East-West oil pipeline, helping provide an alternative route for crude exports and contributing to recent changes in oil prices.
US President Donald Trump has continued to press for economic isolation of Iran, while diplomatic signals from Tehran have kept markets focused on whether negotiations could ease the conflict and improve energy flows.
Other precious metals
Silver also weakened, with spot prices falling 0.6% to $64.07 an ounce.
Platinum gained 0.2% to $1,754.05, while palladium slipped 0.1% to $1,260.70, leaving precious metals mixed as investors reassessed interest rates, the dollar and Middle East energy risks.