As the precious metal dropped below $4,000 per ounce, gold prices in Dubai saw a significant decline of almost Dh8 per gram on Friday, providing relief to UAE consumers who intend to purchase jewelry right away.
22K was selling for Dh442.75 per gramme on Friday morning, while 24K was dealing for Dh478.25 per gramme. On Thursday night, the yellow metal’s 22K variation was trading above Dh450. Additionally, 21K and 18K fell to Dh424.25 and Dh363.75 per gram, respectively, among the other varieties.
It seems that gold is going through a difficult phase, balancing between long-term bullish momentum and short-term profit-taking pressures, at a time when global markets are on edge ahead of impending US mood data, according to Rania Gule, senior market analyst for Mena at xs.com.
Gold is on track for its eighth consecutive weekly increase, indicating that investors are still confident in the demand for safe-haven assets despite the volatility in US monetary policy. This indicates that the underlying prognosis for the precious metal is still favorable in the medium term. Any current pullbacks, she added, “still fall within the scope of natural corrections inside the broader upward channel that has persisted since the third quarter of the year.
Buyers have demonstrated exceptional perseverance in defending support near $3,946. Gule noted that a number of reasons are contributing to this successful performance, the most significant of which is the general cautious attitude in markets.
Also Read:
Kris Sasitharan: A Wave of Transformation in the HR Landscape
About Author
