Dubai gold prices dip by Dh9.25 amid weaker dollar and stable bullion
Global traders await US data for fresh rate cut indications
DUBAI’s 24-carat gold price fell on Tuesday, shedding Dh9.25 to reach Dh394.5 per gram.
The drop came even as global prices remained close to a two-week high, supported by a weaker dollar and uncertainty surrounding the US fiscal outlook. Investors are now watching for upcoming economic indicators to determine the next move in interest rates.
The 22-carat gold rate in Dubai slid to Dh361.5, while 21-carat gold dropped to Dh345.25. The 18-carat variant was priced at Dh296.00. These shifts reflect global sentiment, where the appeal of gold was strengthened by the dollar’s decline.
Global market snapshot
Spot gold was largely unchanged at $3,339.99 per ounce as of 02:28 GMT, holding above $3,330 after Monday’s US and UK market holiday. Meanwhile, US gold futures declined by 0.8 percent to $3,339.80, now hovering above $3,361 as markets reopened.
The dollar index eased 0.3 percent, nearing a one-month low, making dollar-priced gold more attractive to investors holding other currencies. The movement came as political and fiscal concerns weighed on US economic sentiment.
US debt and policy
The US House of Representatives recently passed a tax-cut bill that could add $3.8 trillion to the federal debt, already standing at $36.2 trillion. Analysts cite the growing deficit as a key factor pushing gold higher globally.
US President Donald Trump softened his tariff stance towards the EU, delaying the proposed 50 percent levy and reviving the July 9 deadline for negotiations. The shift has eased immediate trade tensions but added a layer of uncertainty for financial markets.
Other metals mixed
Among other precious metals, spot silver rose slightly by 0.1 percent to $33.38 per ounce. Platinum held steady at $1,084.28, while palladium edged down 0.3 percent to $984.25.