Gold prices in the UAE remained stable on the first trading day of the week. Data from the Dubai Jewellery Group shows that the 24K, 22K, and 21K variants of the precious metal were trading at AED 277.75, AED 257.25, and AED 249.0 per gram, respectively, unchanged from the close of last week.
However, the 18K variant opened slightly higher on Monday at AED 213.5 per gram compared to AED 213.25 per gram at the end of last week.
Globally, gold was trading at $2,295.57 per ounce, down by 0.14 per cent.
In May, the gold price rose towards $2,450, surpassing the peaks of April but failed to maintain levels near all-time highs. Over the past two weeks, the price has fluctuated between $2,330 and $2,360, showing a slight downward trend visible on daily candlestick charts.
Alex Kuptsikevich, senior market analyst at FxPro, mentioned that gold volatility has significantly decreased in recent days as traders deliberate their next move, while many commodities are experiencing a corrective decline.
“Currently, gold has dropped to support at the 50-day moving average, attracting temporary interest from short-term buyers. The 50-day moving average has effectively acted as uptrend support since last October. This support is evident as the prices of other actively traded metals (silver, platinum, copper) have steadily declined over the past week. However, there is no guarantee that this trend will persist,” he said.
He also noted that further declines in raw material asset prices could lead gold bulls to capitulate.
