Gold prices in Dubai maintained an upward trajectory on Thursday morning, recording a total increase of Dh17.5 over the past week. This growth follows a period of market volatility, supported by a decline in US Treasury yields from recent multi-year highs and a weaker dollar, which remains near multi-month lows.
For the 24K variant, the price reached Dh541 per gram, marking a daily rise of Dh1 from Wednesday’s close and a Dh15 increase since Tuesday’s market session. Other gold purities also saw gains, with 22K trading at Dh501, 21K at Dh480.5, 18K at Dh411.75, and 14K at Dh321.25.
Global spot gold prices were recorded at $4,491.47 per ounce, reflecting a 0.09 percent increase, while silver rose by 2.16 percent to reach $67.14 per ounce. Analysts noted that both metals are currently attempting to recover following a sharp sell-off observed on Tuesday.
Vijay Valecha, Chief Investment Officer at Century Financial, explained that softer US economic data has dampened expectations for further Federal Reserve tightening. Investors are currently monitoring the upcoming July FOMC minutes and remarks from Jackson Hole for clearer policy signals.
“Lower yields and a weaker dollar would remain supportive for precious metals, although elevated oil prices and fiscal concerns could keep volatility high,” Valecha stated. He added that both metals maintain a bullish medium-term outlook, provided that gold holds the $4,323 support level and silver stays above $62.65.
From a technical perspective, gold is working to regain momentum above the $4,360 mark, with $4,435 identified as the next significant resistance level. “A break above this level could reinforce the bullish structure and open the way towards the $4,450–$4,500 zone,” Valecha noted. Conversely, if the price drops, $4,323 serves as the primary support, followed by $4,227.
Beyond market fluctuations, the UAE has recently addressed significant geopolitical concerns. Authorities have denied rumors regarding the provision of financial facilities to Iran and clarified that there have been no cancellations of labor residencies. Additionally, the UAE has officially suspended all trade and financial transactions with Iran following the detection of two missiles targeting maritime navigation.
Because the UAE dirham is pegged to the US dollar, local monetary policy remains directly influenced by shifts in US Treasury yields. As long as gold maintains its position above the $4,323 threshold, current market pullbacks are viewed by analysts as minor corrections within a broader, ongoing uptrend. The report also notes that overall, Valecha said that both metals retain a bullish medium-term bias, with easing yields, dollar weakness and expectations of less restrictive Fed policy providing the fundamental backdrop, while the $4,323 support i. The report also notes that behind the UAE alert: How warning goes from national emergency systems to your phone. The report also notes that stay up to date with the latest news.
Source: Khaleej Times
