Gold prices remained steady in Dubai’s market opening on Monday following the Eid Al Adha holidays, continuing to trade below Dh400 per gram.
The 24-karat gold was priced at Dh399 per gram, showing a slight increase from last week’s closing rates. Other gold variants were trading as follows: 22K at Dh369.5, 21K at Dh354.5, and 18K at Dh303.75 per gram.
The UAE observed a four-day holiday from Thursday to Sunday, covering both public and private sectors in celebration of Eid Al Adha.
On the international front, spot gold held firm at $3,309.97 per ounce, buoyed by optimism over a potential US-China tariff agreement.
Gold had declined by over 1% on Friday, pressured by strong US employment data that clouded prospects for a Federal Reserve interest rate cut.
Joseph Dahrieh, managing principal at Tickmill, noted that gold may face downward pressure as Federal Reserve officials maintain a cautious approach to monetary policy. “While markets anticipate rate cuts later this year, policymakers’ lack of urgency could cap further gains for gold,” he said.
Meanwhile, geopolitical tensions continue to influence gold’s safe-haven appeal. Linh Tran, market analyst at xs.com, highlighted a new phase in the Russia-Ukraine conflict.
“Ukraine has launched a significant drone offensive, dubbed ‘Operation Spiderweb,’ targeting strategic Russian airbases with over 100 unmanned aerial vehicles. This campaign has caused notable damage and escalated the risk of broader conflict,” Tran explained. “Such heightened geopolitical risks historically boost safe-haven demand, with gold typically benefiting first.”
As global uncertainties persist alongside cautious monetary policies, gold remains a key asset for investors seeking stability.
