Dubai gold slips to Dh485.25 as prices extend losing streak
Silver rises despite cautious trading across bullion markets
DUBAI – Dubai gold prices extended their decline on Wednesday, offering buyers slightly lower retail jewellery rates after consecutive daily drops this week.
The latest prices released by the Dubai Jewellery Group showed all major gold categories trading below Monday's levels as international bullion markets remained cautious ahead of the US Federal Reserve's interest rate decision. Global investors also monitored fresh geopolitical developments in the Middle East alongside movements in oil and the US dollar, keeping precious metals firmly in focus.
The softer retail rates come as international gold prices held largely steady, with traders waiting for signals on the future path of US interest rates and inflation. Silver, meanwhile, edged higher, while platinum and palladium traded lower.
Dubai gold rates
According to the Dubai Jewellery Group, the suggested retail price for 24K gold on Wednesday stood at Dh485.25 per gram, down Dh1.75 from Tuesday's Dh487.00 and Dh7.50 lower than Monday's Dh492.75.
The 22K rate eased to Dh449.25 per gram, compared with Dh451.00 on Tuesday and Dh456.25 on Monday. Meanwhile, 18K gold was priced at Dh369.25 per gram, slipping from Dh370.50 a day earlier and Dh375.00 at the start of the week.
The latest reductions continue the downward trend seen since Monday, giving jewellery buyers slightly more favourable prices across the emirate.
Global market
In international markets, spot gold was little changed at $4,024.54 per ounce during early Wednesday trading, while US gold futures for August delivery slipped 0.4 percent to $4,023.30 per ounce.
Market attention remained fixed on the US Federal Reserve's policy announcement, with investors looking for guidance on inflation and future interest rate moves. According to CME FedWatch expectations, markets were pricing in a 68 percent probability that the Fed would leave rates unchanged, while a 32 percent chance remained for a 25-basis-point increase. Expectations for a September rate rise also stayed elevated.
The US dollar remained in focus alongside Treasury yields, as higher interest rates generally increase the opportunity cost of holding non-yielding assets such as gold.
Geopolitical tensions also supported demand for safe-haven assets after the US military said it intercepted multiple ballistic missiles launched by Iran towards American forces in the Middle East. Iran later confirmed missile launches targeting US military facilities in Jordan. Investors continued monitoring developments across the region, including shipping through the strategically important Strait of Hormuz, while oil prices edged higher following a decline in US crude inventories.
Other precious metals
Among other precious metals, spot silver climbed 0.5 percent to $57.41 per ounce. Platinum slipped 0.9 percent to $1,590.24 per ounce, while palladium fell 1.1 percent to $1,255.50 per ounce. Analysts also continued to assess longer-term forecasts for bullion markets, with expectations that silver could maintain further upside if investor demand remains strong.