Dubai: Gold prices hit new record high, 24k crosses Dh405 per gram
The value of gold in Dubai has reached a new all time high as the price per gram of 24K exceeded Dh 405.
As per Dubai Jewelry Group data, the prices per gram of 24K and 22K gold were Dh 405.25 and Dh 375.25 respectively. Other gold variants have also risen in value, with 21K and 18K being sold at Dh 360.0 and 308.5 per gram respectively.
Due to the ongoing geopolitical issues also contributed towards Gold being traded in Asia for gold at the exorbitant price of $3,370.17 per ounce marking an all time high.
A portion of the markets were shut on Friday and continued to remain closed for the Easter holiday.
Due to the ongoing conflict, markets are on standstill, accompanied with worries over Trump’s anticipated meddling with Fed adding more uncertainty regarding decisions of the federal reserve which will only worsen factors of geopolitical tensions.
An increase in focus on US politics and policies will only decrease the reputation the Fed has which makes it difficult for the Reserve to alter the interest rate during the time investors are looking for stability due to global volatility.'' said Chanana.
Saxo Bank and Citi Research have reported that gold value will hit $3,500 per ounce in the year 2025.
“Market actors pay special attention to the rate of interest set by the Federal Reserve as they significantly affect the allure of gold. Presently, the futures market is anticipating the lowering of 75–100 basis points by yearend, indicating a shift to looser monetary policy. With lower interest rates, the price of gold is likely to increase since the cost of holding gold (which does not pay interest) falls,” stated Saxo Bank.
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