Gold prices in the UAE dropped on Tuesday morning following a record peak. In Dubai, the 24K variant of the yellow metal decreased by half a dirham to Dh263.75 per gram, compared to last night’s closing price of Dh264.25 per gram.
The other variants, 22K, 21K, and 18K, began the day lower at Dh244.25, Dh236.50, and Dh202.75 per gram, respectively. Spot gold dropped to $2,179.14 per gram, a decrease of 0.21 percent at 9:05 am UAE time.
Wael Makarem, lead financial markets strategist at Exness, noted that gold prices took a breather from their significant surge after reaching a peak near $2,200 on Friday.
He highlighted, “Gold has been buoyed by ongoing central bank purchases and remarks made by US Federal Reserve Chairman Jerome Powell last week, with markets anticipating potential interest rate cuts later this year. Traders are now closely watching the upcoming release of US inflation data. The forthcoming CPI report will be pivotal in shaping expectations regarding the Federal Reserve’s stance on interest rate cuts. A softer reading could bolster the case for earlier rate cuts, thereby supporting further upward movement in gold prices.”
Makarem also emphasized, “Simultaneously, geopolitical tensions and concerns about global economic growth may persist, adding to the upward momentum of gold prices.”
