Dubai: Gold prices in the UAE saw a slight decline of half a dirham per gram at the market opening on Thursday, following a Dh2 gain from the previous day.
According to data from the Dubai Jewellery Group, the 24K variant of gold traded at Dh288.5 per gram in the morning, down from Dh289 per gram at Wednesday’s market close.
The prices for other variants were as follows:
- 22K: Dh267.25 per gram
- 21K: Dh258.5 per gram
- 18K: Dh221.75 per gram
Globally, the price of gold was trading at $2,381.92 per ounce, marking a 0.38% increase.
Andreas Thalassinos, senior market analyst at Neotrades, highlighted that market sentiment hinges on upcoming US inflation data. Federal Reserve chair Jerome Powell’s recent comments about economic uncertainties and a potential rate cut in September have also influenced gold market speculation.
Thalassinos noted, “If inflation figures show further deceleration, gold may see appreciation as expectations for a September rate cut intensify.”
He added that central bank purchases, including significant acquisitions by India, Poland, and the Czech Republic, have bolstered gold prices amidst fluctuations in demand.
Investor interest in exchange-traded funds (ETFs) has remained strong, with consecutive months of positive cash inflows reinforcing gold’s role as a safe-haven asset during times of economic uncertainty.
